12/16/2011 @ 9:05AM |9,785 views
Android Security Issues Could Score Windfall For Apple, Microsoft
Nigam Arora Nigam Arora, Contributor
After the passing of Steve Jobs, investors face uncertainty in shares of Apple (AAPL). Will the stock next hit $100 or $1,000? This article is the eighth in a series, “The Future of Apple,” designed to give investors appropriate insights on the future of the iconic company.
The main competitor of Apple’s operating system iOS is Android from Google (GOOG). An operating system is a set of programs that provides common services to the applications running on a device and manages hardware resources.
There is a ticking bomb in Android that may never explode, but the tail risk cannot be ruled out. The bomb is Android’s vulnerability to malware. If the bomb does explode, Apple stock will jump by $100 and Google stock may drop by $100.
Mainstream media has not yet caught on the potential security vulnerabilities in Google Android, but geeks have been writing about it. Here are a few snippets:
December 12, 2011 Computerworld: Google pulls 22 more malicious Android apps from Market (‘RuFraud’ sent texts to premium numbers, posed as popular games like ‘Angry Birds,’ ‘Need for Speed.’
October 5th, 2011 Android Police: Massive Security Vulnerability In HTC Android Devices (EVO 3D, 4G, Thunderbolt, Others) Exposes Phone Numbers, GPS, SMS, Emails Addresses, Much More
July 11, 2011 Computerworld: Researchers uncover more Android malware on Google’s Market (New texting malware pops up on Chinese download sites.)
June 1, 2011 Computerworld: Google faces new round of Android malware (Again yanks malware-infected apps from Android Market as hackers try trickier tactics.)
March 01, 2011 Mashable: Google Pulls 21 Apps In Android Malware Scare
A simple conclusion to be drawn is that Android suffers from security flaws. It appears that and a lack of trusted digital signatures for apps in Android is a problem.
Use of an insecure Java-based virtual machine to execute apps may also be an issue. Google Android is fractured. (For background, please see Amazon Kindle Fire A Blessing For Apple In Google Battle and Google Chases Apple With Ice Cream Sandwich.)
In Android, fixing security issues is problematic because a different version for each carrier, manufacturer and model is required. Further, many Android devices use insecure old and versions of the operating system.
It appears Android may become more vulnerable as the sophistication of tools that allow for automatic repackaging of legitimate apps to add malware, allow malware to hide in advertisements and allow botnets to steal data, increases.
Microsoft (MSFT) seems to be taking advantage of the latest Android trouble. Ben Rudolph, a self-proclaimed Microsoft’s Windows Phone Evangelist, who uses the twitter handle @BenThePCGuy, tweeted: More malware on Android! bit.ly/rt7dpD Been hit? Share yr #droidrage story to win a #windowsphone upgrade. 5 best (worst?) win!
How popular is Microsoft’s offer? If the tweet from Bill Cox using the handle @billcox is to be believed, it has caught fancy of many. Cox tweeted:
Wow, lots of #droidrage out there. 3,200+ people shared Android horror stories with @BenThePCGuy with hopes for a #windowsphone.
The real battle will be fought in corporations where security is a big concern. As Chief Information Officers (CIO) look into replacing Research in Motion (RIMM), the walled garden of Apple is bound to be more appealing than Android.
CIO.com asked the right question, Android Vs IOS Vs BlackBerry: Which is the Most Secure Holiday Gift? CIO ranked Apple’s iOS first.
Hopefully, the bomb will never explode, but astute investors may want to equip themselves to take advantage of the major profit making opportunities that may arise. I feel that the Android security issue is still an emerging theme that could indeed become a money making opportunity if it is indeed serious and becomes more widely recognized.