Of COURSE, the data is transmitted! How on earth can the three companies who admitted to using the software to improve their services actually use it, if the software doesn't report back to Carrier IQ? And the person who blew this wide open stated that the software continues to report back to CIQ, even if you cancel your wireless service. If you are going to give CIQ the benefit of the doubt, and claim they can't be guilty of anything, until they are found guilty, then let's give this guy the same benefit of the doubt, and not call him a liar, until a lie is proven. CIQ has already been caught lying about recording keystrokes, so why not give this guy more credence than them? Will he lose a whole company, if he's lying? Will CIQ? Hmmm.