Developer Exposes Multiple Scam Apps on the App Store, Some Bringing in Millions of Dollars in Revenue

Over the past several weeks, developer Kosta Eleftheriou has been highlighting many apparent scam applications on the App Store. The formula for each scam application is virtually identical, and it centers on fake reviews and ratings paired with a deceptive weekly subscription. From a report: Eleftheriou is the developer behind FlickType, a popular Apple Watch keyboard application that brings gesture typing to the wearable device. He was also one of the creators of the Flesky keyboard app, acquired by Pinterest, and Blind Type, acquired by Google. The thread began two weeks ago, when Eleftheriou began highlighting applications that were essentially non-functional ripoffs of FlickType. One of the most blatant ones was KeyWatch: "Just a few months ago, I was way ahead of my competition. By the time they figured out just how hard autocorrect algorithms were, I was already rolling out the swipe version of my keyboard, quickly approaching iPhone typing speeds. So how did they beat me? First, they made an app that appeared to fulfill the promise of a watch keyboard -- but was practically unusable. Then, they started heavily advertising on FB & Instagram, using my own promo video, of my own app, with my actual name on it."

When users downloaded the app, the first screen was a blank interface with an "Unlock now" button. Tap the "Unlock now" button, and you'd be prompted with Apple's buy screen to confirm an $8/week subscription for an app that was nonfunctional.

OK so what is the problem as long

[oldgraybeard]

as Apple still gets 30% of the revenue.
And Unusable why would Apple care about that when the only important thing is the revenue stream.

Re:OK so what is the problem as long

[jellomizer]

Continued Revenue Stream.

Apple is not immune to competition, Devices from Samsung, LG... are very competitive. Last year I switched from an iPhone to a Samsung, while I wouldn't say I was blown away with the Samsung, it was an acceptable upgrade to my older iPhone (which I gave to my wife, to replace her really old phone) And I don't have any real reason to switch back to Apple... However one thing I do have to keep in mind with my Samsung, is how very careful I need to be around Apps compared to the Apple. For the most part Apple Store Apps, are rather well built, and didn't worry as much about it being used against me.

However if Apple doesn't fix this, one of Apples key features, will become voided. So if you are going to get spyware and viruses like you do on your Android, might as well save a few bucks, or find an Android phone that better fills your need, just because you have more models to choose from.

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[Actually, I do RTFA]

This doesn't appear to have malicious code, just lack the promised functionality. So that seems safer. And at least Apple will prompt you to turn off the subscription when you uninstall.

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[drinkypoo]

Apple has distributed actual malware through their app store before. Users responded with a resounding "what? did you hear something?" It has had no effect whatsoever. Apple users want the appearance of safety, they don't care about actual security.

Sounds like grounds for legal action

[Anubis IV]

If they're stealing someone else's videos, posting them as their own, delivering a non-functioning app, and charging users $8/week for the privilege of using said app, the App Store might be well-served by Apple going after them in court. This is clearly the sort of behavior that makes Apple look bad, and they would do well to set an example of these scammers. Not a lawyer here, but it even seems as if there may be a case for fraud, though I don't know that Apple could necessarily be the one to make such charges.

Unmentioned in the summary is that Apple has taken down some of these apps already, so that's good, but clearly more work needs to be done.

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[e3m4n]

you know what really sucks? There is no real difference between doing this and selling illegal copies of movies or music, except that if you do it to music or a movie, you can face real jail time. This programmer, at best, has to deal with a civil court case in order to sue for damages. Its still copyright violations that can be punishable for up to 10 years in jail, but where is the SWAT team raiding the business, kicking down doors, etc, that they do for the MPAA or RIAA. When its an organization making m

Re:

[Entrope]

Eleftheriou has an even better basis for suing the infringers -- they are infringing his trade dress and trade marks, among a number of other fair-trading violations, and he is the one who is damaged by their fraud. There are three problems with this: Finding who to sue, making any judgment stick, and finding a good lawyer willing to work at a reasonable rate.

On the other hand, if courts allow a successful plaintiff to put a lien against App Store revenues, this would increase Apple's incentives to filter

Re:

[tap]

Ross Ulbricht, the Silk Road founder, didn't sell stuff himself. Yet he got a double life sentence and all his bitcoin seized for running an illegal marketplace. But Apple takes a 30% cut of millions in fraud and that's just fine.

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[alvinrod]

I'm sure that will be as fruitful as legal action against the people who make the spam/scam telephone calls pretending to be from the IRS or some bank. If they live in a country that doesn't give two shits about what some foreign company thinks or just hand it off to a local law enforcement agency that won't do anything about it or can't catch the perpetrators there's very little Apple can actually do outside of banning them.

It's no different than the illegal drug trade. Even if you can arrest someone, i

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[arbiter1]

It would be called Fraud and apple could be liable if they knew but did nothing for any amount of time.

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[Dixie_Flatline]

Weekly subscriptions are a pure scam in and of themselves, and they should be banned. I don't know of anything that I would want to subscribe to for a week.

Also, the text when you subscribe to something should be really clear about the costs per week, month and year. Big bold text at the top, telling you what you're getting into. The subscription text right now is not prominent.

Re:

[Anubis IV]

Agreed about the UI being less clear than it should be. I've seen some mockups that do exactly as you suggest, and they're significantly better than what's there right now (which, to be fair, is far better than the nonstandard UIs we're used to dealing with on various platforms, many of which make use of dark UI/UX patterns that aren't possible here).

I do think weekly subscriptions have a place (e.g. newspapers and magazines frequently have weekly editions), but I also think there should be extra scrutiny a

Game app advertising

[Dan East]

In-app game advertisements are the wild west right now. There are many, many games currently advertising that have videos showing games and gameplay not in the actual game at all. Homescapes and Fishdom are two of the biggest offenders right now.

There are many other games making incredible claims, like "neuroscientists are begging people to play this game", which are flat-out in violation of FTC rules.

Here are examples of ads for games, where the gameplay does not actually exist in the game at all.
https://www.youtube.com/watch?... [youtube.com]
https://www.youtube.com/watch?... [youtube.com]
https://www.youtube.com/watch?... [youtube.com]

It's a shame this kind of behavior is going on in the app market, but it's apparently rampant everywhere.

Re:

[LenKagetsu]

The excuses I hear when people call these out are ridiculous. "Google can't control the adve-" yes they can, they literally own the platform. "They can't modera-" yes they can, they have plenty of money. "They're based outside the coun-" then hit Google with the fine and tell them it's their problem.

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[JaredOfEuropa]

I'm getting a lot of similar ads for different gaems these days. And it's bizarre... the games they show actually look like a fun way to kill a few minutes, and they are not that hard to code. What's the deal behind not offering the game they show?

Re:

[Impy the Impiuos Imp]

There are entire scam organizations in corrupt countries and dictatorships that look for new apps then upload a clone copy, as fast as within hours.

Nothing matters other than getting some cash as fast as possible before being shut down.

Maybe if Apple or Google had to cough up all their money, including their 30%, that they sent off to these scams once found out, they'd be more careful.

It reminds me of phone companies continuing to charge you if your phone was stolen. While that is your fault, they had litt

$8/mo for an app...

[BAReFO0t]

Seriously, this could only ever bring in money in the Apple world. ^^

Nobody else would ever see that and think "That sounds like a reasonable deal!". :)

Correction: $8/WEEK

[BAReFO0t]

Per month is almost sane. Per week is ... crazy.

Fake Reviews

[nuckfuts]

A big part of the problem, which applies to more than just the App Store, is when can you trust reviews? Reviewers need reputation feedback on any platform. You need to be able to know who provided the review, what other reviews have they provided, and how do other people rate their reviews. Maybe even then it can still be gamed though.

End the app store for security reasons.

[couchslug]

The whole point of Apple devices is a secure walled garden. Useful tool ideas should be submitted for official Apple rewrite and integration with a bounty for success.

If people want to load random garbage they can use Android.

Re:

[dasgoober]

"secure walled garden" was barely an illusion about a decade ago, now all they left you with is the walled garden.

Thank Facebook

[null etc.]

Then, they started heavily advertising on FB & Instagram, using my own promo video, of my own app, with my actual name on it.

Facebook is where scam ads go to thrive.

re

[Vernagarza]

oh