We have seen quite a few cool mods, using an iPhone, the latest one is definitely one of the coolest so far, a head mounted navigation system created by Tokyo based Ubiquitos Entertainment, the iPhone ARider.
The iPhone ARider system features a head mounted display, some custom software and an iPhone 3GS, as you can see in the video below it is attached to the cyclists helmet, he can then see the map on his HMD.
It basically uses the compass of the iPhone 3G, and when you want to find your way you just move your head, and the map will rotate and point to the right direction.
Very cool, it can also be used to make hands free calls via Bluetooth, and can even connect to Twitter.
Head on over to Zeptotools for more information.
via Crunch Gear
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