The Google Android T-Mobile G1 smartphone hits UK stores on Thursday, but potential buyer should be made aware that there is a major flaw in the Google phone’s operating system, as I first reported (here).

Well, we have more information; it appears this flaw can allow a hacker to install keystroke logging software which would enable them to track which keys are pressed and thus giving access to password protected websites such as your online banking account.

So, potentially quite a major problem, although Google say the G1’s security measures will mitigate any danger associated with this issue. So if you happen to lose all the cash in your bank account after using your G1 for a while, you know just who to contact…Google.

Source — mobile marketing news