Single Photons Bounced Off Orbiting Satellite
KentuckyFC writes "If we're ever going to benefit from the perfect security of quantum communication, we're going to need ways of transmitting entangled photons around the globe and certainly further than the current record of 144km through the atmosphere. Anton Zeilinger at the University of Vienna and colleagues have taken an important step towards this by bouncing individual photons off the Ajisai geodetic satellite (essentially a space-based disco ball) which is orbiting at 1400km. The group says the experiment is an important proof of principle for satellite-based quantum communications."
Others have created quantum crypto systems that take the possibility of cloning into account, http://w3.antd.nist.gov/pubs/Mink-SPIE-One-Time-Pad-6244_22.pdf
'basic' quantum cryptography that is taught can be hacked This is true but I think not for the reasons you believe. Basic quantum crypto provides confidentiality only. To keep from being hacked, you must provide authentication as well (Alice must be able to prove she is communicating with Bob and not Eve). I haven't heard of a way to do this without falling back onto more conventional cryptographic techniques such as RSA signatures - at least when doing quantum crypto over fiber. Maybe sending photons through the atmosphere means you can actually just see if somebody is acting as a man-in-the-middle.