At the Black Hat security conference in Las Vegas, the detection of a sensitive data leak was discussed. The leaked data was used by advertisement companies to manipulate users. Lookout Incorporation, a mobile-phone security firm, hired forensics to investigate the theft.

Lookout found information about new free applications, introduced by Google's Android Market and designed for Apple’s mobile phones and iPhones by Android software. These free apps collect sensitive data from millions of users by hacking their text messages, browsing history and contact directory. The application can access voicemail messages passwords and SIM card numbers as well. The applications directly violate Apple’s mobile security agreement.

These free applications spread out among users as they load free wallpapers to the Apple devices.

On the heels of this discovery, a report was published by Dean Takahashi, a lead writer at VentureBeat, including further information about these applications, which access the user’s personal data, collect them and transfer them to third parties, without notifying the user. Dean also added that the third parties are noticed to be a website, owned by a Chinese man named Shenzhen.

Apple did not announce any official comments on this scandal, yet some executives insinuated that these applications require the user’s permission before being installed and that Apple has nothing to do with the user’s preferences.

John Hering, CEO of Lookout, said, "We found that not only users, but developers as well, don't know what's happening in their apps".