Rumors were running rampant that iOS 4.2 was imminent because a "GM seed" version had been distributed to developers -- but now it appears that it's pushed back "at least" a week and that another GM build will be released.
Three days ago MacStories reported Mac OS X 10.6.5 and iTunes 10.1 were set to come out on Wednesday, and iOS 4.2 would follow today -- November 12. Mac OS X 10.6.5 arrived yesterday (minus AirPrint functionality for shared printers) but iTunes 10.1 and iOS 4.2 didn’t arrive as predicted. But there's a reason...
The site is reporting that iOS 4.2 was delayed due to "last-minute WiFi connection issues experienced by many users running the GM build on the iPad." And that a second GM build could be released as early as tomorrow to address the WiFi issues.
The WiFi issues will likely push the iOS 4.2 release back at least a week, with the consensus being that it may not get released to the public until the week of November 22.
Here's a video of the bug in action: