My iPhone 3gs backed up to the iCloud just fine, but my new iPhone 5 gives me an error and says to turn off airplane mode or use wi-fi.  It is connected to my wi-fi and airplane mode is off.  It can see the internet just fine.  What gives?

I backed up my iPhone 3GS to iCloud.  Activated my iPhone 5 and restored it from iCloud.  But iPhone 5 will not backup to iCloud, only to my MacBook.  When I try to turn it on on the phone it gives me an error that I must turn on Wi-Fi or turn off Airplane mode.  Wi-Fi is on an the phone is talking to the internet just fine and airplane mode is off, but I still get the error. Is this a known problem?

You mean take the cover off of the iPhone, to look inside?  I'd recommend against it.  Even with warranty expired, you might qualify for an out-of-warranty service, which for 3GS is $149.
Other than that, any repair/service options are going to cost money.  You might want to see if a wireless carrier will let you get a new contract & phone.
Out of curiousity, you're just using at as, basically, an iPod Touch, if there's no cell provider?  Did I understand that correctly?

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