IPhone Security Passcode Hacked

I downloaded a program called PhoneView the other day so that I can retrieve IMs from my iPhone 4. To my surprise this program can completely access all the info on my phone bypassing my iPhone's passcode and all built in security features. ***?
What I am saying is I can lock down my phone with the most secure settings the iOS 4 offers and all I need to do is plug my iPhone into my computer and PhoneView can still access all my data on the phone never even asking for a passcode or anything. All photos, contacts, IMs, VMs, ... everything is accessible.

Hi,
I realie this is a pretty old thread, but I just wanted to chime in and explain what's going on here.   In short, Apple's done such a great job making everything simple, that at first pass, it may seem like there's a security hole here.  Fortunately, your data's not at risk.
The long version:
The first time you connect your iPhone to your Mac, a security key exchange takes place.  (You won't see this happening.)  This key exchange will NOT take place if there's a passcode lock.  From this point on, the security credentials are stored away on your Mac.  Mac apps, including iTunes and PhoneView, can now access the phone without the need for you to enter a passcode.
If you were to connect your passcode-locked phone to a new Mac (or a thief were to connect your phone to their Mac), nothing would happen at all.  The Mac won't even acknowledge that it's plugged in until it's unlocked.
You might now be wondering, what if the thief is sitting at yor computer?  Well, then you have much bigger security problems on your hands.  :-)
I hope this helps to explain what Apple's done here.
It may also be worth mentioning that if you want to add another level of security, you can enable the iTunes "encrypted backup" feature.  This will kick in very advanced device-side encryption on any data leaving the device.  PhoneView will still work fine, however only if you provide it with the required encryption password.
Thanks,
Glen

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