This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Apple's Hack Hurts but It's Not Fatal (Update 1)

Stocks in this article: AAPL

Updated from 7:58 a.m. EDT to provide developer comments in the seventh paragraph.

NEW YORK ( TheStreet) -- Apple (AAPL) has been under attack for a lack of innovation, a falling stock price, and concerns that other companies have passed it by. Now, its developers may turn an angry eye towards the tech giant.

Apple confirmed its developer Web site was breached last week as a hacker tried to get personal information from its developers. The company has put out a statement regarding the issue.

Last Thursday, an intruder attempted to secure personal information of our registered developers from our developer website. Sensitive personal information was encrypted and cannot be accessed, however, we have not been able to rule out the possibility that some developers' names, mailing addresses, and/or email addresses may have been accessed. In the spirit of transparency, we want to inform you of the issue. We took the site down immediately on Thursday and have been working around the clock since then.

In order to prevent a security threat like this from happening again, we're completely overhauling our developer systems, updating our server software, and rebuilding our entire database. We apologize for the significant inconvenience that our downtime has caused you and we expect to have the developer website up again soon.

I've put in word to Apple for additional comment on the situation, and will update should I hear back.

This hack is not something Apple needs right now, though I suspect this will be little more than a black eye for the company and not something that is likely to be long-lasting. However, with earnings slated for later this week, Apple needs all the positive attention it can get.

"I'm actually impressed with Apple's openness of what happened," said Apple developer Scott Jenkins, creator of Optionsinsight, in an email. "Facebook has an issue that it denies for months. We live in a world where your data is at risk constantly. At risk means someone is actively trying to acquire your personal info through subversive means. The data that the hacker was able to get at was encrypted which is a situation we live with everyday on our personal devices. If I'm going to be upset I'm upset with those companies that take the head in the sand approach over full disclosure."

Developers are undoubtedly going to be agitated by this, especially as Apple recently announced new versions of its mobile and desktop operating systems, iOS 7 and OS X Maverick. The site allows developers to access the company's developer resources, as well as testing, registering and submitting their own apps to Apple for the App Store. Apple has prided itself on the App Store, as it looks to boost the lead it has over Google (GOOG) in this space.

While this is no doubt embarrassing for Apple, in light of the fact the company has always prided itself on privacy, I don't see this as a major issue provided Apple can remedy the situation soon. If not, then developers -- and investors -- may remember this for a long time to come.

-- Written by Chris Ciaccia in New York

>Contact by Email.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs