Thinking it must be yet another app doing similar packet filtering. I had another ad blocking app, AdFree, also installed. When I went to update it gave me a fatal error saying it was out of date. As they say, "there's yer sign!" Un-installed AdFree and now port 8080 works for sending MMS too. Ah, so nice after all these months to be able to stop taking $%^& from my iPhone buddies on this issue.
Yes, hopefully, ABP can create an exception in their filtering. It is an awesome app.