Hacktivation is the process of circumventing the standard Apple activation process with iTunes. Hacktivation is a way to using an iPhone without an authorized carrier, or when bypassing iCloud Lock.
The relevant information about activation is that when an iPhone is booted up for the first time or freshly after a full restore, the phone's serial number and IMEI are checked against a database in Apple to make sure it's allowed to work with that SIM card inserted (this also activates push notifications to the iPhone). Apple intends for locked iPhones to only activate when a SIM card from the providing carrier is inserted or no SIM card is inserted - this doesn't have to be the iPhone's original SIM card and it doesn't have to be a SIM with active service, it just has to be a SIM that is valid for that iPhone. If you didn't insert any SIM card while activating an locked iPhones, You will be able to activate your phone but once you insert an SIM card, It will ask you to activate your iPhone again. Hacktivation bypasses having to insert an eligible SIM card (for example if one is not available).
Hacktivation can be performed by most jailbreak tools that break the boot chain. Userland jailbreaks such as Spirit and Star cannot hacktivate, as they require interaction with programs that can only be used post-activation.
A hacktivated device could have some downsides: push notifications, iMessage, iCloud, and FaceTime might not work. The device also drains some battery and data while it tries to look for the certificates that allow a normal device to use those services.
However, a more proper hacktivation could be done via a lockdownd exploit on some iOS versions, such as on iOS 7.1.1 and below. This activation gives a perfect hacktivtion on wifi devices and no-cellular on cellular models.This exploit is only present on iOS 7.1.1 and below. It can be ported up to iOS 7.1.2 by injecting the 7.1.1 lockdownd.
Official activation using redsn0w: Insert a valid SIM card from the phone's official carrier. Then open redsn0w, click "Jailbreak", and click the "deactivate" checkbox that will be presented during the jailbreaking process. Open up iTunes, and it should properly activate the phone. You can then remove that SIM card.
Official activation using SAM: This is similar to the redsn0w method above - obtain a valid SIM from the phone's official carrier, and put that SIM in your phone. Add the repository to Cydia, install SAM (Subscriber Artificial Module), choose "Revert Lockdownd to Stock", and choose "deactivate". Then plug the device into your computer, open iTunes, and it should properly activate your phone. You can then remove that SIM card.
Simulated activation using SAM: This method does not require having an official SIM card. You can use SAM (Subscriber Artificial Module) to obtain correct activation certificates for a phone, because SAM simulates an official SIM card ID (ICCID) and IMSI. See "How to use SAM to get proper activation of my iPhone?" [Archived 2013-10-31 at the Wayback Machine] for instructions.
I am in Nepal and there is no any official apple store here to physically visit. This particular iphone was bought in Dubai fully unlocked and paid for. Phone was working just fine until I started losing my cellular network now and then. I would simply take my sim out and put it back in and it would work. I tried to update it to the latest version, it stuck at the error message like it " couldn't connect to the internet" after the whole update was downloaded but not installed. I checked with my carrier and tried other sim card as well and confirmed its not them.
So I tried a factory reset after the back up in itunes and now I can't even setup the iphone. I get stuck at the message-"Unable to Activate". "An update is required to update your phone." I tried all the method including the recovery mode as well with same results.
If you are the owner or the owner has shared all information with you then to open Activation Lock:- If it is Activation locked, read here --> Turn off Activation Lock - Apple Support Activation Lock for iPhone, iPad, and iPod touch - Apple Support
If you are not the owner and do not have the Apple ID and Password then there is no way that you can get into this iPhone unless the original owner shares the Apple ID and password with you. If you are lucky you can get into this iPhone if they (owner) accidentally remove the device from their Apple ID.
Thank you for the quick reply. I am the owner of the iphone and have Apple ID Login and Password. Been using it myself since I bought it. I am 100% sure its a fully unlocked phone(no jail break). I have the bills as well(bought from Axiom, UAE). My problem is with the cellular network update. My phone would simply say-"No Service". Like I said I tried recovery mode, sim in/out and all other available options I could do myself. I remember once my wifi was interrupted during installation if this information makes any sense. But the factory reset would have solved that. I don't know.
For now, I can't even access my desktop viber(security feature) without scanning from my phone camera. And not having an access to google authenticator is worse. So you can imagine my situation. Thank you.
795a8134c1