macbook_stop_jailbreak talks to Jonathan Zdziarski, iPhone developer, hacker, forensics teacher, finder of the iPhone kill switch, creator of the AMBER alert app, about the iPhone 3GS' new hardware encryption, recently touted as giving consumers "enterprise-class" security. His take? It's implemented so poorly it can be cracked in two minutes, “like storing all your secret messages right next to the secret decoder ring”.

To steal an iPhone’s disk image, hackers can use popular jailbreaking tools such as Red Sn0w and Purple Ra1n to install a custom kernel on the phone. Then, the thief can install an Secure Shell (SSH) client to port the iPhone’s raw disk image across SSH onto a computer.

We've heard before that Jailbreaking strips away security layers on the iPhone, though that's been in the context of the users own device. This is using the Jailbreak process to actively get at another device's data.

Is Apple going to change the way they implement their hardware-based iPhone 3GS encryption in light of this? Can the current model be made more robust? And what, if any, changes made to keep bad guys out of the iPhone will effect users who simply want to gain access to their own iPhones?

[Thanks to Antony for the tip!]