Download new iPhone update - CRASH

i just downloaded most recent iPhone update (for the old 2G phone). it downloaded everything correctly and then when phone reset it came back with an error that my SIM card is not in properly and wont activate my phone. Itunes wont recognize my phone so i can't restore.
HELP! i can't use my phone now
anyone know how i can fix this problem?

Jimmydjd,
Try removing and re-inserting your SIM. To do this, insert a paperclip into the small hole on the top of the iPhone, then push the tray back in.

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