I don't recommend anyone try to activate until I (or someone else who does many of these) updates here. Reason becing, this very well could be the end... no sense in burning your sims. (Before this gets misinterpreted, this is a suggestion to save you time and money, if you don't want to listen, by all means, ignore this entire post).
As of this writing, ATT reps are even clueless. One of the people I ran the activation for has called upwards of a dozen times over the past 36 hours or so and was told that they expect the system to be back up tomorrow. I was told something similar. Please take that with a grain of salt. A lot of times the phone reps are among that last persons to know anything. It could just purely be conjecture spreading rampantly, or it could be 100% fact.
I promise t update here when I know anything more definite. I have also stopped running activations for the time being as they have been getting nowhere since 12/13/11.
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What's strange is that iTunes immediately unlocked the phone. No dialogue for phone number, social, rate plan...
I put a live AT&T sim (provisioned for a dumb phone) into it and immediately received a message stating "Your iPhone is activated." It showed strong signal and the Edge "E" and was fully functional.
From what I've read that shouldn't be possible after a full restore.
It is possible. In fact, I sell used sims (deactivated) for this very reason (people want to use an old phone as an iPodtouch). All it needs is a proper att sim that has been activated at some point and it will push the activation of the hone through. This is how it has been since day one and continues to be. I could take the sim card from my iPhone 4, pop it in the 2G (with an adapter, of course), run it through iTunes, and the phone will activate. Same is try regardless of what ATT phone you have. (please note that sometime the activation does fail since iTunes times out and is buggy as hell, but it is INTENDED to allow the activation).
I think you may be getting confused with terminology here a bit (if not, disregard what I am about to say). When I say "activate and iPhone 2G" I am referring to getting it out of the "emergency call only, please connect to itunes". That is it. Nothing more and nothing less is meant to be implied. WHen we say activate a sim card, or unlimited data plan, we are referring to actually getting that sim registered with ATT, adding an unlimited data plan to the line, and allowing that sim to be used to make phone calls, send texts, and use data.
I hope that clears things up.