Why does location manager always reports kCLErrorLocationUnknown in simulator?

As the subject says the location manager is always sending the kCLErrorLocationUnknown error in the simulator. I've tried changing the accuracy and it didn't help.
Here is the code:
     locmanager = [[CLLocationManager alloc] init];
     [locmanager setDelegate:self];
     [locmanager setDesiredAccuracy:kCLLocationAccuracyKilometer];
     [locmanager  startUpdatingLocation];
This always calls didFailWithError with error kCLErrorLocationUnknown.
Any idea of what is wrong?
TIA,
FR

I read somewhere that apple doesn't use skyhook any more
Googling bears this out, but I can't find a way to manually update the Apple DB.  Which must mean that Apple does it magically.  Try allowing your iPhone to get a precise GPS position and then use it over your WiFi access point to download an app or song from the iTune store.

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