I think your mobile is locked by particular provider. So only it displays "invalid sim" . If you want to use your sim card in your mobile,First you must unlock your iphone4. You can easily unlock your iphone4 by using remote unlock method. If you need remote unlocking service you can visit this site SimpleUnlocking.com here you can get the service and unlock your iphone4 easily.
Simple Unlocking Unlock the Apple iPhone 4 mobile phone
Did you just recently update to iOS 7? Best bet is to do a full back up and then take it to an Apple store near you. If you don't have that option, sometimes just pulling the SIM and replacing it can fix the error. do this with it on first. If that doesn't work turn the phone off, remove the SIM, turn the phone on, insert the SIM. If that doesn't work you can try going into the settings and "Reset Network Settings" (not likely at this point)
SOURCE: iPhone SIM Failure
The phone is locked to Apple and needs a Security code to unlock it.
When you place a new or a existing SIM card from another phone provider into your mobile phone and it asks for a Security code then :-
This phone is locked to the original mobile phone provider. You need to contact this mobile provider to ask for the unlock code (security code) for this phone. You need to provide proof of ownership etc and the phone's unique IMEI number which is located inside the phone under the battery. They use this number to generate the unlock code for your phone.
They should provide you with instructions on how to enter this code into the phone.
Once you unlock the phone, then you can insert a new SIM card in this phone or sign up with another phone provider using this phone.
You could ring the phone provider and ask for the unlock security code because you are going overseas and wish to use your phone with a prepaid SIM card from another country.
The other way to get your phone unlock is to use a phone unlocking company on the Internet, they usually charge a couple of Dollars for their services. Use Google and search for “Security unlocking code”.
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