Progress so far

 So far the client can connect to most Jabber (xmpp ) servers, including google talk. using either SSL or clear text. Since this is a native jabber client unlike all other iphone IM clients, you can use this to connect to you corporate jabber server over VPN. It will connect, download the list of buddies and let you chat with them.  The basic chat client is done.  I am currently working getting avatars to load in a way that will not overly tax the iphone.  Avatars do download but do not yet show up  in the buddy list.  That's my next major to do item.