My phone says it needs an update is required to activate your iphone
iPhone 7
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Connect to a Mac or Windows system, and try updating there.
Here's how:
- Make sure that you have the latest version of macOS or the latest version of iTunes.
- Check that your computer has an Internet connection.
- With the cable that came with your iPhone, connect your iPhone to your computer. Locate your device on your computer.
- Wait while your computer detects and activates your iPhone:
- If you see an alert that shows "Set up as New" or "Restore from Backup," it means your iPhone is activated.
- If you get an error message on your computer that says that the SIM card isn't compatible or is invalid, contact your carrier.
- If you get an error message that says the "activation information was invalid" or "activation information could not be obtained from the device," use recovery mode to restore your iPhone.
If you still can't activate your iPhone, contact Apple Support.
It's also possible this is a hardware problem:
iPhone 7 Repair Program for "No Service" Issues - Apple Support