Apple Issues Warning on Hacked iPhones

IPhones that have been unlocked to work on cellular networks other than AT&T may be damaged "irreparably" by an iPhone software update being released this week, Apple warned yesterday. What's worse, the company says the unlocking also voids the warranty, so users would have to pay for replacements out of pocket. One of the features included in the update will enable users to buy music over a WiFi connection.

Apple says it's not trying to disable unlocked phones, but tests have found that when the update is installed, hacked phones are likely to becomes "permanently inoperable." The download is part of the launch of the iTunes Wi-Fi Music Store, a collaboration with Starbucks that will be rolled out in New York and Seattle next month. (More Apple stories.)