Updating iPhone

[dsuppa]

Ok so I have the original iPhone 8gb, I use it only as an iPod now, I have a BB Curve for my phone. Can I still update on iTunes to the newest iPhone software even though its not an active phone on an account? My worry is when it goes to that "Activating phone" part after update it wont activate and I'll be screwed.

Anyone else try this out yet?