Hacked by a 28-year-old Karsten Nohl, whom is also a PhD in Computer Engineering.
The GSM encryption uses the A5/1 algorithm, a 64bits encoding algorithm, which is relatively outdated compared to the A5/3 encryption algorithm.
A 128bit algorithm of the A5/1 encryption is implemented on 3G services already. But from the knowledge of wifi hacking, "128bit vs 64bit encryption" simply means slightly longer time is needed to crack the same algorithm with higher bit encryption.
The A5/3 encryption has not been implemented by most GSM operators yet. No reasons have been given on why the A5/3 not been deployed.
Read more at ZDNet and SlashGear
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