The handset is asking for the subsidy code.. Depends on what the handset was locked to before realy. Vodaphone will give the code for free if you have or can get a voda phone number. the rest will charge 20 - 30 pounds for the code.. If the phone is second hand, or you have tried entering codes already then the best way would be to send / tske it to fonefunshop. they use a dm3 unlock box on a thursday. this is because if you have 3 failed attempts at unlocking this handset via code, even the right code is of no use to you.