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Same issue with me and my Verizon iPad 2 64gig. Had trouble starting the service when I received my iPad 2 from Apple. Called Verizon an they had me turn on the cell data switch and reboot. All was good till I found this thread. I turned off the cell data switch and rebooted finding the verizon connection didn't work. It just said "searching" forever. Set the switch to on, reboot, and it works fine.
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Go to your local apple store, the fix it for free.