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As far as I know, that is an artifact of the hardware. The network compatibility of early (all?) iPhone 5s was divided across three models. Some can work on other networks, but not in other networks' LTE bands. Depends on your particular model and which network you're trying to move to.

http://www.theverge.com/2013/3/26/4150856/bringing-your-ipho...

Edit: better explanation at this link: http://www.wired.com/2012/09/iphone5-lte-model/

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My Sprint iPhone 4S worked fine on CDMA networks in the US, and it worked fine while traveling internationally on GSM / non-CDMA networks.

There's something going on in the baseband firmware that rejects domestic carrier SIM cards, but still allows international carriers when an international unlock is granted.

Yes, my newly "unlocked" Sprint iPhone 5 will work fine overseas. It's specifically on non-Sprint domestic carriers where it won't work.

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