Bypassing your iPhone's passcode before it auto-deletes all of your data seems to be a possibility now thanks to a new device that uses a brute force attack system. The device can run through every four-digit unlock code combination in about 111 hours, and once completed, gives whoever has your iPhone access to all of your information.
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Devices like this can essentially negate all the work Apple has done so far to make our iPhones more secure and less enticing to criminals. Hopefully this is something Apple can find a fix for, and if we're lucky it'll be something that they can do with software instead of hardware. If not, we'll have to wait for a future iPhone release to see a fix.