TS4429 I have just got a new iphone4 and put in the sim. It is saying invalid sim. Why is this?

I have just been given a new Iphone4 for my birthday. I have inserted my sim but the phone is saying sim failure. Can you tell me why this is and what I can do please. Thanks

Where was the phone bought? Is it SIM unlocked? If not, then the phone will only work with a SIM the carrier is locked to.

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