Apple has issued an official statement regarding Carrier IQ software running on the iPhone, noting that they've stopped supporting the logging software in iOS 5 and plan to remove it completely in a future software update.
We stopped supporting Carrier IQ with iOS 5 in most of our products and will remove it completely in a future software update. With any diagnostic data sent to Apple, customers must actively opt-in to share this information, and if they do, the data is sent in an anonymous and encrypted form and does not include any personal information. We never recorded keystrokes, messages or any other personal information for diagnostic data and have no plans to ever do so.
The recent uproar surrounding the intrusive tracking methods used in the logging software by Carrier IQ has gained the attention of Senator Al Franken, who has in turn demanded answers from the company on exactly what information is being logged and sent back to carriers.
"Consumers need to know that their safety and privacy are being protected by the companies they trust with their sensitive information,” said Sen. Franken. “The revelation that the locations and other sensitive data of millions of Americans are being secretly recorded and possibly transmitted is deeply troubling. This news underscores the need for Congress to act swiftly to protect the location information and private, sensitive information of consumers. But right now, Carrier IQ has a lot of questions to answer."
So although Apple has used Carrier IQ software on iOS version prior to iOS 5, they weren't using it as extensively as other Android smartphones. Adding the fact that they plan on fully wiping Carrier IQ code from iOS 5 in a future update will probably help put your remaining worries to rest, but you can turn the service off completely in the meantime by following these simple steps.