With iPhone OS 3.x came harsher parental controls, allowing parents better control over what apps their kids could purchase based on the standard age ratings. However, the problem with this new feature is that while it does limit the owner from purchasing restricted apps, it doesn't restrict them from browsing through those apps via iTunes.

Oops.

iPhone OS 3.x brought us beefed-up parental controls, giving parents finer-grained control over what apps their kids could purchase based on four standard age ratings. A side effect of Apple's move to have apps rated by age level meant that apps with racier content-essentially soft-core porn-could be approved for sale if was rated 17+. Educator and developer Fraser Speirs has discovered, however, that access is only restricted for purchasing, not browsing in the App Store, which is a real problem in school environments. The glitch has become a huge headache for Speirs' school, which plans to roll out iPod touches to every one of its 100 students next fall.
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