Apple filed a patent application 18 months ago for software that detects when an iPhone is recording a LIVE event and shuts down the camera function. Infra-red sensors will be installed at the venue to detect the device. Only the camera function will be disabled. All other junctions of the iPhone will still be usable including text, email, and phone services.
Everyone involved at the event will greatly appreciate this technology. No longer will your view be blocked by people holding up their cell phones to take pictures and record video. Also there are many large companies who purchase the exclusive rights to broadcast the events who are getting upset with amateurs uploading and streaming the content to the rest of the world.
It may still be a few years before this technology is set into place, so for those of you who rely on streaming sites to view live events better save up the money to attend them or purchase the pay-per-view.