Confirmed: Verizon iPhone 5 is unlocked, can be used freely on GSM networks (updated)

New owners of the Verizon iPhone 5 are being met with an unexpected but welcome surprise today: the device comes fully unlocked out of the box. That will come as great news for customers that travel overseas and it even allows you to insert an AT&T nano-SIM if the desire strikes you. We’ve been able to confirm that the Verizon iPhone 5 is fully compatible with AT&T’s 3G network — though differing LTE bands will prevent you from achieving high-speed connectivity. You should also be able to hop on T-Mobile’s 3G network in areas where the carrier has refarmed its spectrum, though we’ve yet to test this firsthand. We’ve reached out to Verizon for comment on the rare unshackling.

Update: Those considering purchasing the Verizon model on the basis that it ships unlocked should do so with caution. Last year, the Sprint variation of the iPhone 4S also shipped unlocked, but after a subsequent update, users were tied to the company’s nationwide network.

Thanks, Jeff!