updated 06:44 pm EDT, Fri July 13, 2012
Company is investigating problem, no fix yet
Responding to earlier reports that a Russian developer had come up with a way to allow users to steal in-app purchases from the App Store even without jailbreaking the iOS device, Apple has issued a brief statement saying it is investigating the issue. "The security of the App Store is incredibly important to us and the developer community," Apple representative Natalie Harrison told The Loop in a response. As of now, the company does not yet have a fix.
While the exploit doesn't work on all apps, advanced users could easily execute the technique and skip paying for in-app purchases. The hack was not without risk, however; in order to successfully use the exploit, users must turn over their iTunes account information to Russian hackers. Most iTunes accounts have personal info such as names, email addresses, billing addresses and most importantly credit card numbers.
Apple said in its statement that it "takes reports of fraudulent activity very seriously and we are investigating." In addition to the money developers will lose from the illegal hack, the company would also lose its 30 percent cut of in-app purchases. [via The Loop]