Microsoft's first Windows Phone 7 update will be officially blocking ChevronWP7. Chevron was a jailbreak tool allowed users to unlock their phones and access non-marketplace apps.

It was pulled awhile ago, but those who downloaded it before Redmond killed it have been using it. Writing in their blog ChevronWP7 developers, Long Zheng, Rafael Rivera, and Chris Walsh said they had been told that the “error in their app” would be plugged by the coming update.

The trio plans to meet with Microsoft smartphone staff in Redmond soon to talk about renewing focus on “the homebrew potentials of Windows Phone 7 and some of the wide community feedback around the platform.”

Redmond seems to have played this one rather well. Rather than threaten it has killed off the jailbreak and got three developers working for them.