I recently bought a new iPhone 4 and I took my old SIM card out of my 3GS and shredded it. After doing that, I restored the phone to the factory settings, and come to find out, I actually need the SIM card so that I can jailbreak it. Now when I plug my iPhone into iTunes, I get the following iTunes error:

There is no SIM card installed in the iPhone you are attempting to activate.
Please disconnect and insert a SIM card in the iPhone.

Even though the goverment just made jailbreaking legal, Apple is going to make it as difficult as possible for people who don’t have a SIM card. I’m in the process of tracking down a SIM card just so I can open the phone and go to JailBreakMe.com – once this is done, I’ll be free and clear and will no longer need the SIM.

Has anyone found a way around this without using the SIM? Is there a iOS4 jailbreak that works through the USB connection rather than through PDF security hole in iOS 4.0 and 4.01? I’m about to find out. I’ll keep you fools updated!