I've just acquired a wireless keyboard/mouse combo (Microsoft Wireless Desktop 3000). Only after having plugged it in did it get me thinking. How susceptible are those kind of setups to sniffing? Are they secure enough for everyday use?
From a brief perusal it seems that the problem is not purely theoretical as I initially thought:
Are there any feasible methods to mitigate this kind of threat (apart from using a corded keyboard for highly sensitive applications)?
[Edit:]
So as to clarify the assumed threat model per nealmcb's request.
I'm talking mostly about my actual setup. Personal/SOHO context, trying to avoid remote keylogging threat, protected assets are mostly login passwords and some sensitive info (f.e. credit card number etc.).
I know in my context the real life threat is negligible, but the same could be said about the perception of WEP based security in the past. So my question is - would devices like KeyKeriki allow amateurs to sniff freely on wireless keyboards? I suppose the good thing is that in this case a dedicated piece of hardware would still be needed, which is not the case with penetrating poorly secured Wi-Fi networks nowadays. So I'm hoping this difference will inhibit spreading of this threat.
But to broaden the question I thought also about possible corporate setups (crowded office space) and what about remote execution in this case - is it more than just a hypothetical risk?
To be clear though, high security setups are completely out of scope of this question.