It seems that Apple's own iTunes activation servers for activating iPhones is currently experiencing issues.
Many people across the web have been reporting that they are unable to activate their iPhones are multiple attempts.
Your iPhone could not be activated because the activation server is temporarily unavailable. Try connecting your iPhone to iTunes to activate it, or try again a couple of minutes
No word from Apple on the issue. Are you currently experiencing any difficulties activating your iPhone?
Update: Some users are reporting this issue has been fixed.
via Greg
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Commenting from a craplet I have to for now live with since it was a random prize (Can't afford ipad yet) I can't find out how to activate this since it is confusing to do and is not easy. Lamedroid logic.
No, that's not true. It's because your mumma starting chewing on the cord. Luckily there was a cattle prod near by and they were able to stop her before causing too much damage. She has since been safely locked back up in her cage.