CONFIG_MACH_MSM8960_SIM is not available for thedefaultarchitecture x86.
Result is shown for architecture arm

MSM8960 Simulator

configname: CONFIG_MACH_MSM8960_SIM

Linux Kernel Configuration
└─>Qualcomm MSM Board Type
└─>MSM8960 Simulator
In linux kernel since version 2.6.39 (release Date: 2011-05-18)  
Support for the Qualcomm MSM8960 simulator.