I recently upgrade to IOS 1.07 and appear to be suffering the same issue as all the others who have posted to this forum. Yesterday I was not getting a Wifi connection and when I went into Settings I found that the Wifi option was greyed out. Like others, I followed their advice to restore the network settings, switching on and off, chilling the phone, etc. but nothing worked.
Then I found this forum. Sadly this does not provide me with a technical solution to fix the problem, however, it does seem abundantly clear that the only solution is to send it back and demand a new one within my consumer rights.
I am absolutely astounded at the attitude of the (presumably) Apple representatives on this forum who seem to be in a total state of denial. To tell their customers that they should have taken out an extended warranty for something that is clearly inflicted by Apple's own software upgrades is simply unacceptable. And it is no good hiding behing evidential proof; the sheer volume of posts on both this and other sites clearly indicate the root cause of the problem.
Unless Apple address this and take ownership of the problem, I can only see this backfiring on them in a big way.
I will get a free replacement phone, of that there is no doubt. Whether Apple end up bearing the cost remains to be seen. In the meantime, I have two other iPhones and two iPads in my household which have also been upgraded quite recently and I will be watching very closely to see what happens to these. I also have several within the company. If they go the same way, and Apple continue to deny any repsonsibility for the problem, then I will switch all the handsets away from Apple. Morover, any decision to furnish the sales reps with iPads will be posponed pending any change of heart from Apple. It goes without saying that I will make quite sure than all those with whom I am in contact are made aware of the situation.