Tap "Add" after the edit screen appears and enter "http://iPhone.saurik.com/" into the box that appears. Make sure you do not type the quotes in, just the address. If the source is not accepted, go back and retype the address in again.
Tap "Install" at the bottom of the screen on the menu and browse down until you find the Java selection. First tap the GNU Classpath. This will install first. Then tap the JavaVM app to install onto your iPod. After this has downloaded and installed onto the iPod, you will be able to run Java code just like you can on your computer.
Apple has long rejected Java as a useful programming language, and many people are still a little irked by its decision to not allow Java programming on the iPod touch or iPhone. That, of course, changed when the iPod touch was hacked and programmers were finally given the go to write apps programmed with Java. Hacking your iPod touch or iPhone is completely legal in every way, as long as you only have it for private use. Redistributing the iPod touch or pirating the software is where things become illegal. So rest assured that this fine to do.
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