So far, I suspect the G1, not the sim card. However, what type of phone was the other phone, and what issues did it have? did the other phone work with the card at all?
Have you tried a hard-reset - best to take out both battery and sim, leave them out for a few minutes before putting in again, then restart the phone.
Does it have enough power in the battery - suggest charging for a few hours and have another go? What colour is the status light?
Some phones do take a while to boot, did you give the phone plenty of time, eg, ten minutes, to be sure?
I've had a look at this manual:
http://member.america.htc.com/download/Web_materials/Manual/T-Mobile_G1/R1.0-Kila-UserGuide-Rev08-TMUS.pdf
but there's no support contact or troubleshooting info.
HTC support site is for "HTC Dream":
http://www.htc.com/au/faq_detail.aspx?p_id=187&act=faq&cat=0
There is a more comprehensive manual by HTC here, so you may find what you need. Possible you have blocked your SIM by operating it in the other phone without entering the correct PIN, so you may need to obtain an unblock key from your cellular provider to get going again. (see section 1.6 on p34 of the HTC Dream manual)
Other things to try, in case:
Do you use a microSD flash memory card as well, and if so, what happens if you have it in, and if you have it out?
Phones can usually be connected with USB to your computer, have you tried booting it while connected? Can the sync software recognise the phone at all?
Has anything changed with your cell provider, has your contract changed or expired? Assuming you had it working OK before?
Another question - if you have another sim card (a friend maybe?- if your friend is willing to lend you theirs) can you try that in the G1?
Please can you let me know what you have tried out of these, and what else you have tried?
At the very worst you may need to do a factory reset, which would completely erase any data and settings and start over. Only as a last resort. Here are instructions (HTC Dream):
http://www.htc.com/au/faqs.aspx?p_id=187&cat=86&id=108190&f=t
Not possible to do if you can't get into the menus though!
All I can think of for now, hope you can get it working.
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