ITunes not recognizing my sim card after iPhone update

Hi,
So I just updated my iPhone software to the iOS 4 version on my 3G and connected it to itunes. Everything got backed up fine but when connecting to the itunes store, it says that my sim card is not supported.
I've tried turning it off and switching it back on, but nothing seems to work.
If anyone can help me in this, it would be awesome!
Thanks!

Are thses actual microSIMs or regular SIMs that have been cut down?
IF they have been cut down, it's possible they were not cut properly and are not making contact resulting in marginal performance.
If they are microSIMs then it's possible the iPhone is experiencing a hardware issue.    

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