UPDATED: Activate Emoji (Japanese Emoticons) Mod / Hack for iPhone 2.2

UPDATED (January 25, 2009): There are two ways to do this now. One for Jailbroken iPhones and one for Normal iPhones and iPod Touch.

The Jailbroken Method:

You can add Emoji through the iSpazio source in Cydia. This only works in 2.2 and up. Once installed go to:
Settings App > General > Keyboard > International Keyboards > Japanese > turn on Emoji.

On your Keyboard you will see a little globe in the bottom left corner. Just tap it to see all the different emoticons. The tabs across the bottom show categories and once in a category you can swipe left or right to see more. The first tab is the most recently used emoticons. This will fill up as you use them.

Thanks to Apple iPhone School! They are the best :)

The Un-Jailbroken Method (For normal unmodified iPhone and iPod Touch):

Step 1. Download the vcard.vcf here.

Step 2. Import it to your address book program. If you are using Windows, you may want to do it on iPhone directly. Send the vcard.vcf file to yourself. Open in on iPhone's Email.app, click the vcf file and import all the contacts.

Step 3. Go into "Settings" > "General" > "Keyboard" > "Japanese Keyboard". Enable the QWERTY keyboard.

Step 4. In notes or any other program you want. Type "emojia", "emojii" or "emojiu" to select those :) icons.

Step 5. Happy Emoji!

Thanks to Win and Mac Blog :)