I found a new program in development during my daily internet searches.
It’s called XGps, and the website reveals the app as a Open GPS hardware and software solution for iPhone and iPod touch.
For the moment there’s only 1 screenshot and some very little information on the webiste.
I will keep watching this and will report back to you when there’s more information.

One thing that bothers me though is the fact that the latest update is from late april.. only one month ago..
» Xgps will bring GPS to our iPhone and iPod touch?