Update: iOS 5 Doesn't Use Carrier IQ

Apple issued a statement regarding Carrier IQ, saying they have stopped supporting it with iOS 5. Not only that, the software was only used for diagnostic technical data, even when Apple used it. Their official statement is below.

We stopped supporting CarrierIQ with iOS 5 in most of our products and will remove it completely in a future software update. With any diagnostic data sent to Apple, customers must actively opt-in to share this information, and if they do, the data is sent in an anonymous and encrypted form and does not include any personal information. We never recorded keystrokes, messages or any other personal information for diagnostic data and have no plans to ever do so.

Way to go, Apple. It looks like iPhone users don't have to worry about privacy in the least. Android users, on the other hand, are still in danger. Even if Google forbids the use of Carrier IQ in future versions of the OS, they still won't be able to remove it from many Android phones. Thanks to Android fragmentation, many Android phones, even ones that are a year old, may not receive another update ever again.
via MacRumors 

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More on Carrier IQ, the Phone Tracker

Yesterday, Carrier IQ (CIQ) was demonstrated on an Android handset. The software allowed your carrier to collect everything their users did with their phones, from sending and receiving texts, phone calls, the keys people pressed, usernames and passwords, and even encrypted searches (without encryption). You can find the original story, as well as the demonstration video here.
Now there have been a few updates to this story. Not all phones have it, some unexpected ones do, and as it turns out, Carrier IQ isn't the sole bad-guy here.

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