Mac Specs: Black Macbook C2D 2GHz 3GB RAM 250GB HD
If you're running iTunes 7.4.1 or higher and have the 1.1.1 firmware on your iPhone, then you should have a Ringtones tab in iTunes. You can go to the iTunes store to purchase ringtones, which you add to your iPhone
Legally? No. Technically? Yes. However, I cannot discuss details.
So, just to clarify, it is illegal in the US to use music in one's iTunes library to create ring tones? Is it therefore illegal to have two copies of the same song on your iPod, as I do not see the difference? Furthermore, what if the music in question was ripped from a copyright free CD?
Mac Specs: Black Macbook C2D 2GHz 3GB RAM 250GB HD
Not saying it's illegal to use one's own music, just the means to get those songs onto the iPhone is a violation of the EULA, which is against forum rules to discuss. I shouldn't have said illegal, but rather not allowed to be discussed.
I personally have added songs from my own collection to my iPhone for use as ringtones. If you do a Google search or follow the links provided above, you'll find the information you're looking for. But again, I can't delve into specifics and I think I might be skirting the rules as I type this.