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Mobile phones are rapidly becoming small-size general purpose computers, so-called smartphones. However, applications and data stored on mobile phones are less protected from unauthorized access than on most desktop and mobile computers. This paper presents a survey on users' security needs, awareness and concerns in the context of mobile phones. It also evaluates acceptance and perceived protection of existing and novel authentication methods. The responses from 465 participants reveal that users are interested in increased security and data protection. The current protection by using PIN (Personal Identification Number) is perceived as neither adequate nor convenient in all cases. The sensitivity of data stored on the devices varies depending on the data type and the context of use, asking for the need for another level of protection. According to these findings, a two-level security model for mobile phones is proposed. The model provides differential data and service protection by utilizing existing capabilities of a mobile phone for authenticating users.