Here’s the second most exciting iPhone update of the day, right behind the release of the major update to the iPhone operating system, iOS 4: the Pandora Radio app for iPhone has been updated for the new iOS 4.

The new version number is 3.1 and what the iOS 4 support brings is the long-awaited ability to let your Pandora music continue running in the background when you move out of the app.

You can also use the player controls (to play, pause, fast forward, rewind) on the iOS 4 multitasking bar to control music playing via Pandora Radio.

Great stuff.  A favorite app just became even more favorite-y.  You can find this latest version of Pandora Radio in the App Store now, and it’s still a free app of course.

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