Mobile Spy allows the account administrator to implant an undetectable rat inside the iPhone. It then squeals to a server, which is accessible via the Web. Mobile Spy records SMS messages and inbound and outbound call info, including call duration. That means if you want to see what your employees are texting in real-time, or how long your teenaged daughter gabs with that kid from down the street, you can now do so for $100 per year.
Mobile Spy, created by Retina-X Studios, has been kicking around smart phones running Windows Mobile or the Symbian OS for a while. And in terms of mobile spy software, it's certainly not alone. Brickhouse Security can read all private data stored on a phone's SIM card using a USB device. Flexispy operates just like Mobile Spy and advertises "Catch Cheating Spouses!" like a late-night episode of Cheaters.
I imagine applications such as these have some kind of non-malicious use, somewhere, but the optimist in me believes that with just a little bit of faith in humanity, they wouldn't be necessary.