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The L.A. School District has halted a program that planned on distributing free Apple iPads to all 640,000 students in the district by next year; apparently, some of the students attending Theodore Roosevelt High School had hacked their iPad within a week, allowing them to surf the web. It was this security concern that forced the School District to halt the program...
Source: http://www.phonearena.com/news/L.A.-School-District-stops-free-Apple-iPad-program-after-students-hack-through-security-feature_id47775