FYI - this is the first comment on that page, and I believe it is accurate:
This is very deliberately dis-informative. I'm very disappointed with Fox:
This is not a "smart phone" problem, this is an Android, Android (Google) marketplace, problem. The video footage shown featured the iPhone and the iPhone flashlight. The iPhone flashlight is not a downloadable app, it is built into the operating system. It is completely secure. The same is true for the iPad. Both the journalist and the security expert make a conscious effort to avoid mentioning Android when, in fact, this problem is unique to Android yet they explicitly mentioned the iPad (even though it is completely invulnerable to this type of exploit).
Apple is often criticized for having a "walled garden" approach to their App Store – all apps are vetted by Apple before they appear on the App Store. Apps cannot be downloaded to the iPhone or iPad except through the App Store (Unless you jailbreak the phone). This may limit the types of apps which appear on the iPhone (or iPad) but iOS is a very secure environment. The very opposite is true of the Android which has literally hundreds of thousands of malware exploits, viruses, and Trojans.
I cannot but believe that Fox news deliberately protected Android and smeared Apple with this story.