I just got my Pre this week and set up my Exchange and Gmail accounts on it. Exchange is the primary and I can send fine through that, but I can't get my gmail to send. The settings I have are:

server - smtp.gmail.com
Use Authentication = On
username - <my full email address>
password - <my password>
Port # - 465
Encryption - SSL

This seems like it should be the correct settings and match what my wife has on her Pre. I asked her last night if she's successfully sent a message from her phone and she said she had. I didn't ask if it was before 1.2.1 or not (she's had her phone longer).

Despite what look like the right settings, I get an error every time I try to send an email. Most of the time it says the password is wrong (I've retyped everything at least 4 times... and I'm able to get my IMAP email just fine). I'm at a loss as to what my problem could be.

PS. This is a Google Apps for your Domain account, not a standard gmail account. I've used these SMTP settings in Thunderbird with no problems... I even verified today that I could send a message through Thunderbird using the gmail SMTP setting and I was.