Apple has allowed Google Maps application to be there in the App Store but the problem is you cannot use it as the default maps application, whenever you will click on any Address link on your safari or any other browser, you will be redirected to Apple Maps. This is not a new problem as you must have observed that Apple never wants this to happen, no matter how good alternative you have.
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You can use a new Jailbreak tweak known as MapsOpener, which will make Google Maps the default map application. I am not sure whether you will be able to see Google Maps as your default map application in Foursquare or other applications. But yes Safari links for map navigation will be directly opened in Google Maps latest version.
Even if you are using iOS5 and you want to use Google Maps old and latest version both, then also you can use this jailbreak to change the default application. You can take a look at the video mentioned above to demonstrate the usage of this tweak.