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Re:One of the FBI’s Major Claims in the iPhone Case Is Fraud... by knd775 on Tuesday March 08, 2016 @04:40PM (#11248919)
Data is still encrypted in that state. The passcode screen is not what is preventing access. That is how it works in Android (where a lockscreen is just an app that is locked into the foreground), but not iOS. Bypassing the iOS passcode entry screen gets you to a weird limbo-like state where a lot of thing don't work. I don't recall what that state is called.
Re:One of the FBI’s Major Claims in the iPhone Case Is Fraud... by kenferry on Tuesday March 08, 2016 @04:53PM (#11249044)
For more on this see "File Data Protection" and "Data Protection classes" in https://www.apple.com/business/docs/iOS_Security_Guide.pdf .

The default protection class is "Protected Until First User Authentication". This means that unless an app says something more specific, the key required to read a file is not available between reboot and the first time a phone is unlocked.

Re:One of the FBI’s Major Claims in the iPhone Case Is Fraud... by tuxracer on Tuesday March 08, 2016 @06:18PM (#11249581)
Re:One of the FBI’s Major Claims in the iPhone Case Is Fraud... by knd775 on Wednesday March 09, 2016 @12:43PM (#11254383)
FDE on Android still leaves a lot to be desired. It hardly stands up to Apple's implementation. The only time that any data is encrypted is when the device is off or a volume is unmounted.