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Re:Researcher’s Video Shows Software on Millions of Phones L... by Groxx on Wednesday November 30, 2011 @02:35AM (#3294180)
That might clear things up, I haven't watched the video (too long, busy doing other stuff). Though there is this line in the text:

>From there, the data — including the content of text messages — is sent to Carrier IQ’s servers, in secret.

Not that I fully trust the accuracy of journalists, I'd just hope Wired would be mostly accurate at least.

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