I bought an unlocked iphone 1.1.4 6 months ago which worked perfectly fine with my Tmobile SIM card. Friday 7-11 I connected my iphone to Itunes and it prompt me about the new sofware 2.0 been released and needed to update my phone... After downloading the new sofware 2.0 my phone was completely stock on DFU mode; then I found the way how to downgraded back to 1.1.4, everything looked fine but when I insert my SIM card and ..... is all I get where the signal bars and logo should show; then I tried going into settings and choose a carrier but that option is gone as well.. Now I have a useless expensive phone :( .... Please Help
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the new sim card is connected with having an iphone account. when you say it is officially unlocked. does this mean that AT&T unlocked your phone? what i think your saying is that if you have 2 sim cards, one that is in use and the other is a spare you cannot use both. at the same time. the sims are standalone, to use a spare sim it has to be activated by the carrier, thus disabling your original sim. when you change sims you will need to reboot the phone that will not change.
Your iPhone is not factory unlocked. This means if you purchased it from the USA you need a deactivated ATT SIM card to get it past the activation or use a program called QuickPWN to Jailbreak + Activate your iPhone
I recommend you restore your iPhone, if you don't know how, i'll be happy to walk you through it. After that, upgrade to the new firmware. After you have upgraded, unlock it with the newest PWNing software. That should fix your problwm.
As of right now no iPhones will work on any carriers other than AT&T, unlocked or not. AT&T has exculsive rights to the iPhone until 2012, so unless you put an AT&T sim card in the iPhone it will not transmit.
Plus even if you could get the phone to work on another service providers network, as soon as you plugged the phone in to your computer, iTunes would disable it...