Monday, July 22, 2013

SIM card hack has severe implications for business

The exploit involves simply sending a specially configured, hidden SMS to the phone, giving the attacker an easy way around that phone's built-in encryption.

Ultimately this would then give the attacker the ability to do all manner of nasty things, from having the phone send pricy for-pay text messages to recording telephone conversations.

While some seven billion SIM cards are in use today, Nohl estimated that roughly half a billion mobile devices worldwide would currently be vulnerable to this type of attack.


Finally, as phone-based commerce becomes increasingly popular, this opens up yet another avenue where businesses will face risks.

Hackers could theoretically redirect payments or change the amounts involved, potentially leaving merchants high and dry at the end of a transaction.