MacRumors

CNET reports that Apple has developed a software fix for the iOS security hole exploited to enable a Web-based jailbreak over the weekend, and that the fix will be deployed in an upcoming software update.

On Wednesday an Apple spokeswoman said in a statement, "We're aware of this reported issue, we have already developed a fix and it will be available to customers in an upcoming software update."

Apple declined to say when the update would be pushed out.

Apple had reported just yesterday that it was investigating the issue, which actually comprises a pair of flaws, and has obviously moved rapidly to close the security hole.

There are two distinct vulnerabilities in the iPhone uncovered with the jailbreak software's release, principal analyst Charlie Miller of Independent Security Evaluators told CNET Tuesday. One flaw is in the way the browser parses PDF files, enabling the code to get inside a protective sandbox, and the other hole allows code to break out of the sandbox and get root, or control, privileges on the device.

While the vulnerability was exploited to offer users a simple method to jailbreak their iOS devices in this case, it could easily be used as an entry point for the execution of malicious code.

Apple has reportedly seeded a new software update called "Snow Leopard Graphics Update" to developers. While the exact focus of the update in testing is unclear, it appears from the areas in which developers are being asked to focus their testing that it addresses several aspects of graphics performance including VRAM utilization and hot-plugging and wake-from-sleep issues. The general release notes claim only that the update addresses reliability of "graphics applications and games".

Many users have been anxiously awaiting some sort of graphics improvements from Apple considering issues cited with high-performance games running under Mac OS X 10.6.4. It is unclear, however, whether any such improvements are included in this graphics update or in Mac OS X 10.6.5, which Apple is reportedly preparing to begin seeding to developers. It also unknown when these two software updates will be made available to the general public.

In what seems to be a bit of a time warp, a number of sites are reporting on the ability of Apple's MobileMe iDisk application for iOS devices to stream music from a user's iDisk, including support for background audio via multitasking. The feature was introduced and plainly noted by Apple as part of a broader update to the application released nearly a month ago.

Today's publicity appears to have been sparked by a blog post by MP3.com founder Michael Robertson discussing the feature, which was then picked up and made into an "iTunes in the cloud" story by a number of other sites. Robertson is clear, however, that while this is a minor first step toward some sort of streaming capabilities, it is not in any way a proper music streaming service.

This is not "iTunes in the cloud" but it is definitely moving the Cupertino company in that direction. First off there is no automated way to get all your iTunes music to your iDisk account. To load files to iDisk you have to select individual files and upload them from your browser. (Apple does let you sync Calendars, Contacts, Bookmarks, etc directly from OSX but excludes music files.) Secondly there's no support for playlists so your iTunes playlist do not work in iDisk. There seems to be no way to play a list of files. Cover art is not supported as well. And while iDisk will cache other files, it will not cache music files. Still it's not hard to see how Apple is adding features to enable it to support audio in it's cloud storage business.

Macworld also brings a sense of reason to the excitement over the feature:

In a nutshell, streaming media in the background with its MobileMe iDisk app is a marginally useful feature that Apple added (and mentioned) in July. But it isn't quite time to break out the credit cards and bubbly in celebration of "iTunes in the cloud" yet.

Apple has reportedly been working to develop a service that would allow users to store their purchased iTunes libraries on Apple's servers and stream them to a broad array of Internet-connected devices. The company has been rumored to be scaling back its music streaming plans, however, as it continues to seek licensing deals with major labels to permit the functionality. The streaming capabilities of MobileMe iDisk would also appear to be forbidden under current music label licensing deals, but the labels have not yet publicly addressed any concerns over this limited functionality.

Research firm ChangeWave today released the results of a recent survey assessing customer satisfaction with the new iPhone 4. While the report reveals strong satisfaction with the device, users are somewhat less impressed with the new device than they were with the iPhone 3GS at its launch last year.

The emerging pattern is that while the iPhone 4 has been very well received by new owners, the survey findings aren't quite at the nosebleed levels seen at a similar point in time for the 3GS launch.

Far and away, users report that the iPhone 4's high-resolution "Retina" display is their favorite feature of the device, with nearly half of the survey respondents including it in their list of top features. Other top features include the 5-megapixel camera and the touch screen functionality. When it comes to downsides, AT&T exclusivity and network performance continue to be the biggest drag, although antenna issues and dropped calls also rank highly.

Interestingly, the July ChangeWave survey found that iPhone 4 customers experienced fewer dropped calls (5.2%) than iPhone 3GS customers surveyed just one month prior (6.3%). The result conflicts with statements made by Apple CEO Steve Jobs at the company's press conference last month admitting that the iPhone 4 drops slightly more calls than the iPhone 3GS, although the company is unsure of the reason for the real-world performance as its testing shows significantly better overall antenna performance for the iPhone 4.

ChangeWave's overall dropped call numbers for July 2010 (5.8% for AT&T vs. 2% for Verizon) are also consistently higher than those cited by AT&T, which claimed a 1.44% dropped call rate across its network in May 2010. An interesting post yesterday could shed some light on that discrepancy, however, claiming that AT&T systems only register a call as dropped once its network automatically terminates a call due to loss of the connection, a process than can take over a minute. In doing so, AT&T misses counting as dropped those calls manually ended by one of the calling parties after voice transmission has been lost but before the network terminates the call. Any ordinary consumer would consider such a manually canceled call dropped, but it may not register as such on AT&T's systems.

My theory is that AT&T lets the dead connection continue for over one minute before terminating the call. This allows both users enough time to give up on the connection and hang up themselves, thus "no dropped call."

The moral of the story is that if you want AT&T to register your call as having been officially "dropped," you must wait for over one minute with no signal for the call to cut off and register the call has having been dropped in the system.

Overall, the ChangeWave survey finds over 20% of iPhone 4 customers calling the antenna issue either "somewhat of a problem" or a "very big problem". Despite the issues, however, the iPhone 4 continues to receive higher satisfaction ratings than other smartphones and Apple's efforts to address the issue and portray it as a universal smartphone hurdle could ultimately result in an effective defusing of tensions over the antenna problems.

iLounge has put together a summary of recent information it has received regarding Apple's plans for the next generation of its iOS devices. Among the claims are a set of revised iPod devices possibly including a touch screen iPod shuffle, a new 7" iPad set for launch early next year at the latest, and a fifth-generation iPhone release scheduled for as soon as January.

- iPod: Apple reportedly has three new models of iPods ready for release, with the company presumed to be introducing them at an early September media event as it has for the last several years. The new models include a new iPod touch and iPod nano, while the third model could be a new iPod shuffle, possibly including the diminutive Apple-branded touch screen that appeared in a leak last month.

The report also claims circulating rumors of a three-inch touch screen for an iPod device, which would be a curious shift from the standard 3.5-inch screen of the iPhone and iPod touch if the device were to run iOS, unless the device offered the same number of pixels at slightly higher density. Issues would likely still remain, however, with buttons and other onscreen touch items at the smaller size.

- iPad: A new 7-inch iPad is reportedly scheduled for launch later this year or early next year. Previous reports have similarly indicated that Apple is planning to launch a smaller iPad with a screen sizes in the range of 5-7 inches early next year.

- iPhone: The fifth-generation iPhone may be set to launch as early as January in order to address antenna issues with the iPhone 4. It is unclear whether the new iPhone would be a major redesign or simply a tweak to address the antenna problems. While not mentioned in the report, the redesign could coincide with the much-rumored Verizon iPhone highly anticipated by many potential customers.

The report also addresses the iPhone 4 bumpers, with claims that Apple may be preparing to release a new, all-silicone bumper for the iPhone 4 that would provide the company with a cheaper solution to address the device's antenna issues. The report's source also claims that Apple considered shipping the iPhone 4 with bumpers from the very beginning, implying that the company was aware of a potential antenna issue.

Ordinarily, we would be highly skeptical of several of these claims, but while we are still taking them with a grain of salt, iLounge has had some remarkably accurate information on Apple's iPod pipeline over the last several years. The site accurately revealed the design change of the fourth-generation iPod nano, as well as the larger screen and unique camera placement of the fifth-generation iPod nano months before their respective releases. The site also offered some correct details on the iPad, although not all of its information on that product did turn out to be accurate.

Electric Pig has managed to snap some of the first photos of Apple's Covent Garden retail store in London. The new store was announced last week and is Apple's largest store by total square footage.

Spread over two floors, the Apple Store Covent Garden features beautifully restored masonry, with stone arches inside and out. It's a masterful blend of old and new, which suits the environs of Covent Garden perfectly.

The London Evening Standard reports that customers will enter through an eight-bay arcade marked by 20-foot stone arches and lit with restored gas lamps. The company has said to have taken pains to preserve the architecture while restoring the building.

The store will be open to the press tomorrow with the public opening on Saturday. Electric Pig has a gallery of 10 shots of the exterior of the new store.

The first iPhone 4 unlocking tool has been released. Version 1.0-1 of ultrasn0w provides iPhone 4, 3G and 3GS owners the ability to carrier unlock their iPhone to work across multiple providers.

While in some countries customers may be able to buy unlocked iPhones, most iPhones come locked to the specific mobile carrier. The process of "unlocking" the iPhone allows you to use the same phone across other GSM mobile phone carriers. In the U.S., however, options for alternative carriers are limited as T-Mobile is the only other GSM-based carrier and they do not even support the iPhone's 3G data network. In order to unlock your iPhone, you must first be Jailbroken.

Users should, of course, proceed at their own risk, as none of these procedures are sanctioned by Apple who warns that any issues caused by these procedures could violate your warranty.

Amongst the changes to the developer release of iOS 4.1 last night, Apple has removed support for Game Center on the iPhone 3G and 2nd generation iPod Touch.

Game Center is Apple's social gaming network that offers iOS game developers to link into a centralized service that offers high score leaderboards, achievements and multi-player matchmaking. The announcement of the system was welcome by developers and gamers as a way to combat the increasingly fragmented existing gaming networks found on the platform.

Apple's removal of iPhone 3G and 2nd Generation iPod Touch devices comes without further explanation. Such a move would restrict the service for the iPhone 3GS, 3rd Generation iPod Touch, iPhone 4 and presumably iPad.

Over the weekend, a new Web-based jailbreak became available for iOS devices, offering users a simple method to open their devices to installation of unauthorized third-party applications.

At the time, we noted potential security implications of the method, which involves a security hole in how the mobile Safari browser included on all iOS devices handles embedded fonts. Exploiting the hole allows a remote site to gain control over a user's device. In the case of the new JailbreakMe site, the exploit is offering a convenient delivery method for a service, but others could use the same method for malicious purposes.

Reuters reports that it has received an official response from Apple on the issue, which notes only that it is investigating the security hole.

Company spokeswoman Natalie Harrison said the company was aware of the report.

"We're investigating," she said.

There is no word yet on a timetable for a fix. While many users are no doubt appreciative of the simple jailbreak method, Apple will certainly want to close the security hole as quickly as possible to both prevent malicious exploitation of it and to thwart the simple jailbreak process, a system modification frowned upon by the company.

Just one week after the last developer build was seeded to developers, Apple has pushed out iOS 4.1 Beta 3 for testing. Apple has also released an updated software development kit (SDK) to provide developers with tools for building for the new beta version.

The release is a bit of a surprise, as Apple has typically stuck to a biweekly release cycle for its iOS developer builds. Consequently, it is possible that Apple is beginning to wind down work on iOS 4.1 to prepare it for public release. Alternatively, there could simply be some new changes that Apple wanted to get into developers' without waiting an additional week.

No details on the changes included in the latest beta have yet been revealed. Among the most highly anticipated iOS changes is one addressing a bug with the iPhone 4's proximity sensor, an issue that Apple CEO Steve Jobs promised would be fixed in a future software updates. There have been conflicting reports, however, as to whether earlier beta versions of iOS 4.1 address the problem.

With much fanfare, Research in Motion (RIM) today announced the launch of its BlackBerry Torch 9800 smartphone, running the company's new BlackBerry 6 operating system. The launches are a key milestone in RIM's effort to reverse sagging interest in the pioneering smartphone platform in the face of continued strong growth in iOS and the surging Android platform.

The BlackBerry Torch 9800 offers a full 3.2" touchscreen, although it offers only 360x480 resolution, considerably lower than the iPhone 4 and other smartphones hitting the market at present. The Torch retains the traditional BlackBerry physical keyboard, however, tucking it away in a slim slider design. It also offers an optical trackpad for navigation, 5-megapixel camera, and 4 GB of onboard storage with an additional 4 GB media card and support for cards up to 32 GB included. The Torch will launch exclusively on AT&T, Apple's exclusive partner for the iPhone, on August 12th and will be priced at $199 with a two-year contract.

Perhaps more significant than the Torch hardware is RIM's new "BlackBerry 6" operating system, offering a refreshed user interface that should still feel familiar to current BlackBerry users. One of the major additions in BlackBerry 6 is a new browser based on WebKit, the same engine behind the iPhone and Android browsers. The new BlackBerry browser offers tabs, auto-wrapping text zoom, and pinch-to-zoom features. It also drives the platform's email application.

BlackBerry 6 also offers a new "Social Messages" application that aims to integrate instant messaging, Twitter, Facebook and other social tools across services. Finally, the new operating system brings enhancements to multimedia performance with enhanced music and podcast services.

The new BlackBerry 6 operating system launches on the Torch 9800 handset, but will soon be available for the existing Bold 9700, Bold 9650, and Pearl 3G (9100/9105) handsets, as well as on future BlackBerry devices.

In an interesting blog post, Posterous co-founder and former Apple engineer Sachin Agarwal describes how Apple runs its engineering divisions "like a huge startup", with engineers frequently being moved from project to project based on whatever is the highest priority at the moment. As an example of the effect of Apple's lean staffing policies, Agarwal points to the company's stagnated Remote application for the iPhone, which has yet to see such enhancements as iPad compatibility or iPhone 4 retina display support.

Yes, the Remote app is due for an update. But here's why it hasn't been updated: the person who wrote it is busy working on other things. Yes, the person, not the team. (He's a good friend of mine)

Apple doesn't build large teams to work on every product they make. Instead, they hire very few, but very intelligent people who can work on different projects and move around as needed.

While the engineer responsible for Remote is not identified in Agarwal's post, it is believed to be Alan Cannistraro, who has been one of the primary lecturers in Stanford University's iPhone Application Development course [iTunes Store] that has seen significant success through Apple's iTunes U program. Cannistraro has introduced himself as the developer of Remote as part of that course.

Startups also thrive by keeping things lean. Great startups have small teams that can build quickly and pivot when needed. When working at a startup, you don't own just one part of the application: you have to be able to work on whatever needs your attention that day.

Apple's staffing strategy even goes as far as moving engineers between platforms, as had been suggested in reports earlier this year claiming that Apple had diverted resources from Mac OS X 10.7 development in order to push forward on iOS 4. While the lack of dedicated projects for engineering staff provides for efficiency and flexibility, as well as offering employees opportunities to develop breadth of expertise and fresh intellectual experiences, it can result in certain low-priority projects such as the Remote app becoming stranded as their developers are redirected to other areas.

CNET reports that Apple may be scaling back its initial plans for cloud-based iTunes offerings as it continues to struggle to reach agreements with record labels to allow users to stream their iTunes content from Apple's servers to a variety of Internet-connected devices. Apple has been thought to be placing a priority on developing the service since its acquisition of streaming music firm Lala Media last December.

But eight months after the acquisition, Apple is telling executives at the four top labels that if Apple offers any cloud-music features within the next few months, they will likely be "modest in scope" and not include the kind of functionality that Apple outlined in meetings with the labels, such as storing users' music on its servers, sources told CNET. They added that Apple still hasn't negotiated the kind of licensing deals it would need to distribute music from the cloud.

The report notes that while it is not clear exactly why Apple has been unable to make substantial progress on the cloud streaming initiative beyond ongoing struggles to bring music labels onboard, there does appear to be some uneasiness within the Lala Media team. One of Lala's founders who moved to Apple with the acquisition has reportedly left the company, while the Lala team has been said to be working on an undisclosed video feature rather than the music-related technology it was noted for prior to the acquisition.

Of course, a focus on video for the Lala team could mean that the company is concentrating its efforts more on cloud-based streaming of TV and movie content, an aspect of the initiative that had been hinted at earlier this year. The move would also align with Apple's rumored Apple TV revamp, which will reportedly see limited on-board storage in favor of a cloud-based streaming model.

Apple may also be waiting for its massive North Carolina data center to come online at the end of the year, as it seems likely to require the center's capabilities in order to deploy its cloud-based initiative.

Fortune reports on a new research report from Deutsche Bank analyst Chris Whitmore, which shows that if the iPad were to be categorized as a portable computer along with netbooks and notebooks, Apple would have held the third highest share of global portable computer sales for the second quarter of this year behind HP and Lenovo.

Apple's jump was driven by strong growth in its existing portables segment combined with a tremendous launch quarter for the iPad.

"When including the iPad as part of the NB [notebook] market," he writes, "Apple leapt over Asus, Lenovo, Toshiba and Dell in terms of global unit share."

Viewed this way, Apple goes from being No. 7 in the worldwide portable computer market to No. 3, after only Hewlett Packard (HPQ) and Acer. And it's not stopping there, says Whitmore.

According to Whitmore's data from retail stores, the shift continued into July, with the iPad continuing to cannibalize netbook and low-cost notebook PCs. He believes that investors will increasingly include tablets in their calculations of portable markets as consumers turn to the devices for many of the tasks for which they previously relied upon notebooks and netbooks, thus validating his view of Apple's performance during the quarter.

Nielsen today released data on smartphone usage in the U.S., revealing that Google's Android platform has outpaced the iPhone among new smartphone customers for the first half of 2010. The news comes as a marked reversal from the second half of 2009, when the iPhone topped Android 34% to 6% market share among new smartphone customers.

While the iPhone has been the headline grabber over the last few years in the smartphone market, Google's Android OS has shown the most significant expansion in market share among current subscribers. Android's rise is even more noticeable among new smartphone subscribers in the last six months where Android has nosed past Apple's iOS in the last quarter to grab a 27% share of those recent smartphone subscribers.

Taking into account total U.S. user base, however, Apple still leads Android, 28% to 13%. Both trail Research in Motion, which holds a 35% overall market share and 33% share of those customers new to smartphones in the first half of the year.

Earlier this year, NPD released somewhat similar data for the first quarter of 2010, claiming that Android handsets had outsold the iPhone in the U.S. Apple CEO Steve Jobs took exception to that and similar claims from others, pointing to Nielsen data at WWDC in early June showing Apple still holding a firm advantage over Android. The data shown by Jobs, however, was Nielsen's overall market share calculation for existing users, while NPD had been referring specifically referring to new sales of new smartphones. With today's release, Jobs' favored source Nielsen now agrees that Android has surpassed the iPhone in new purchases, at least among those who have not owned a smartphone before.

It is also important to note that the first half of 2010 primarily represented the back side of the iPhone's product cycle, with the iPhone 4 only making its appearance in the last few days of the period. The diversified Android platform, in contrast, saw several high-profile device launches in early 2010.

Today's survey from Nielsen also reveals that Research in Motion's lead may not hold up for long, however, as more than half of current BlackBerry owners surveyed are planning to defect from the platform with their next smartphone purchase, with 29% planning to move to the iPhone while 21% plan to pick up an Android-based handset. In contrast, 89% of iPhone owners plan to stick with the iPhone, while 71% of Android owners plan to stay on that platform.