Are the local telecom companies oblivious to the fact that GSM network is already vulnerable to hacking? This is really bad, telecom should act on this fast!
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Researchers Crack 3G GSM 128-bit Encryption in Under 2 Hours
The security woes of the cell phone sector continue
For those in the know about the current state of cell phone security, it's a mess. With current 64-bit encryptions on GSM (used by about 3.5 billion people worldwide), publicly cracked after 21 years of secrecy, wire-tapping is now no longer the realm of the government alone. Security researchers have demonstrated that malicious users and corporate spies alike can tap 64-bit GSM and decrypt it using equipment that can cost under $1,000 (most of the software involved is open source). That's scary news for anyone who wants to avoid letting their company's financial results slip in a seemingly private, behind-closed-doors conversation with your financial staff.
Equally scary is the cell phone companies' response. They only acknowledged the insecurity when the algorithm was publicly cracked by Karsten Nohl, PhD, a 28-year-old German computer security researcher and member of Berlin's Chaos Computer Club. Even now they're dragging their feet on adopting more secure algorithms across their networks.
DailyTech - Researchers Crack 3G GSM 128-bit Encryption in Under 2 Hours