iTunes Gift Card Algorithm Hacked
Several sources are reporting today that hackers have figured out the algorithm that creates the codes on the back of iTunes gifts cards. Like credit card hacking software, the numbers on the back of the card are created by software to follow some formula. That way you can’t just type in jibberish and have it work.
Hackers have figured out this formula and are creating lots of $200 gift card numbers, which they are selling for very cheap (reportedly as low as $2.60). The solution for Apple is to change the algorithm, but that would be problematic for the massive amount of cards on store shelves and in people’s hands that they haven’t used yet.
This is a big jump for the user. You are not just naively telling yourself that its not stealing but sharing by downloading a song. Now you are performing fraud, with a clear dollar amount. This could also put a big hurdle in front of the music industry to further jump into music downloads as a revenue stream.
Posted on March 10, 2009, in Business, Computers, Entertainment, Internet, Law, Music, News, Technology. Bookmark the permalink. 2 Comments.
I’m amazed that it has not happened sooner. Maybe fraud central is getting competition from the banksters/fraudsters who have lost their jobs (the ones that did not get the big 7 figure bonuses) Must be getting very crowded in the credit cards, debit card, ATM and break into databases fields.
All the sources I’ve read suggest that foreign hackers were responsible.
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