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The "unlocked" term refers to the sim card locking status by commercial telecommunication company. This phone should be able to accept all international or local USA sim cards and work with GSM system. The phone has the most worldly use 900 band which is the minimum requirement for GSM system. I have used various unlocked phone in my travel to the Philippines and other countries. One example was when I was in Spain I simply bought a local sim card for 10 Euro with minutes of call and used it to call my travel agent.
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