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Founder of Viral Call-Recording App Neon Says Service Will Come Back, With a Bonus

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A controversial app that claims to pay people for recordings of their phone calls, which are then used to train AI models, could soon return after being disabled due to a significant security flaw.

Alex Kiam, the founder of Neon, emailed app users on Tuesday to inform them that their payments are still in place, despite the app going dark.

"Your earnings have not disappeared -- when we're back online, we'll pay you everything you've earned, plus a little bonus to thank you for your patience!" Kiam said in the email.

He promised Neon would be back "soon" and apologized. He did not respond to a request for further comment.

Neon was recently among the top five free iOS app downloads. However, it no longer appears on that list since it stopped functioning on Sept. 25, after TechCrunch reported on a significant security bug.

According to TechCrunch, a flaw in the app allowed people to access calls from other users, transcripts and metadata about calls. Per Neon's terms of service, users who submit their phone recordings grant the company the right and license to "sell, use, host, store, transfer" as well as publicly display, reproduce and distribute the information "in any media formats and through any media channels."

Neon founder Alex Kiam had confirmed the exposed data in an email to CNET last week. "We took down the servers as soon as TechCrunch informed us," he said.

At the time, Neon stated that it was pausing the app to "add extra layers of security." An email to users said: "You will not be able to make calls or cash out, and the app will temporarily display $0 in your account, but your money has not disappeared. The app will be back online soon."

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Before the app went offline, a legal expert warned against using it.

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