VLC has been around for the iPad for a while now. Today it was updated so that it would also work with the iPhone 4, iPhone 3GS and recent iPod Touches.
There have been a few other updates to the app which include being able to delete videos from within the app, more extension compatibilities and faster media decoding which I assume is to do with Neon optimizations as it only runs on devices with Apple’s newer ARM CPU. Neon is a set of ARM machine code instructions which are well suited to media optimizations.
VLC in my opinion is a must have media player on any platform. So I am particularly pleased that the cool geeks over at VLC central have updated it for more of Apple’s iOS based devices.