RFID Access Vulnerability

It's July. Which means the press is saturated with pre-Black Hat vulnerability announcements. Like this one on RFID:

LONG-RANGE RFID HACKING TOOL TO BE RELEASED AT BLACK HAT

So... this says you can do PROX from a meter away, and PROX is an unencrypted number, and PROX is clonable. Is that all correct? Oh, and urban legend is that if I ever breath while thinking about this, an HID patent attorney will threaten me. I say that to respectfully document the urban legend, I don't mean to be rude here.

Comments? Is it really this bad? Do physical security directors really not know about this stuff? Is this really news?

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