ExtremeTech: Carrier IQ-gate is best reason to buy an iPhone
[Via Brainstorm Tech: Technology blogs, news and analysis from Fortune Magazine » Apple 2.0]
A cellphone eavesdropping scandal casts a shadow on Apple’s competitors
Have you heard that every text message, every e-mail, every phone number, every keystroke made on a Google (GOOG) Android phone may be secretly recorded, logged and sent to your cellular provider by a tracking service called Carrier IQ?
No? That’s a surprise, because it’s a scandal that’s been brewing for several weeks — ever since security researcher Trevor Eckhart discovered Carrier IQ’s analytics app on HTC phones running Android. The app comes pre-installed on more than 140 million handsets, including phones made by Samsung, Nokia (NOK) and Research in Motion (RIMM) — but not Apple (AAPL).
Carrier IQ’s first response was to have its lawyers send Eckhart a cease-and-desist letter (since withdrawn, with an apology). Its second was to issue a statement that its software does not record keystrokes and that any information it gathers is “encrypted and secured.”
It didn’t take long for Eckhart to put the lie to those claims. On Monday he posted a 17-minute YouTube video that takes viewers step by step through the set-up and then, at the 13:45 mark, shows Carrier IQ recording his keystrokes — in clear text — as he performs a supposedly encrypted HTTPS Google search.
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Looks like almost everyone who bought an Android has seen a tremendous amount of persona, private data sent, unbeknownst to the, to a private company who seems to be in a position to sell that data.
It records all your keystrokes – like passwords – and transmits them in the clear, with no encryption.
This is about the largest security meltdown one could imagine with mobile devices. Yet we have heard little about it in the press.
But iPhone has no such app. Here is what one of the few tech guys reporting on this said:
“The CIQ software, as it currently functions,” he writes, “blatantly violates both privacy agreements and security best practices. It’s also the best reason to buy an iPhone that we’ve heard in months. Given the choice between a closed software ecosystem and an open phone that spies on its user, we’ll take closed software every time.”
This could be about as damaging to Google and Android as one could imagine. We shall see how this turns out.

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