After updating my phone cellular is still not working and asking me to update software to use sim

Carrier Update (Required): Released by your Cellular Service provider (Carrier Update), affects your Outgoing / Incoming calls, SMS, Data etc..

How to Update Carrier Settings

You can manually check for and install a carrier settings, update with these steps: Make sure your device is connected to a Wi-Fi or cellular network. Tap Settings > General > About. If an update is available, you'll see an option to update your carrier settings.

Update your carrier settings on your iPhone or iPad - Apple Support

Few Carrier (Cellular Service Provider) does not provide Carrier Settings in full but they offer APN settings for example

• Google FI which has APN to be entered manually as h2g2
• MTN Ghana which provides APN pin to be updated manually as the internet
• BSNL in India which provides APN pin to be updated manually as bsnlnet (Watch teh GIF below)

Settings > Mobile Data > APN [under Mobile Data APN] enter the APN pin

View and edit your APN settings

If your carrier allows it, you can view your APN settings in one of the following locations: Settings > Cellular > Cellular Data Options > Cellular Network. Settings> Mobile Data > Mobile Data Options > Mobile Data Network.

View and edit your Access Point Name (APN) on your iPhone ...

Use the APN pin based on your carrier. Ask them (Your Carrrier) or search using any search engine.