It seems to imply that once the link is clicked it downloads and runs the payload automatically, but this is rather hard to believe (I would guess that there is some user action required).
User action is required; the applet needs permission to get outside of its sandbox, so a standard "This applet wants permission to access your computer and data, Approve or Deny?" dialogue is presented.
If "as described" includes running automatically (without user permission), then you'd be incorrect in this case. This particular trojan doesn't include any privilege escalation exploits, so the user must confirm a couple of security dialog boxes (including keying their password) before the trojan can install.
This is not entirely true.
There will be only 1 popup asking the user's permission to "run" java code through the browser. After that, the applet can download anything on the box it needs and execute it.
The applet has full access to the local filesystem with the same priviliges the original user has. If needed the hackers can further exploit the machine, by escalating user priviliges with some corrupt scripting..
First, Apple isn't removing Java from OS X. They will stop shipping their customized version of Java in several years.
Second, every popular piece of software has vulnerabilities. So if this warrants the removal of Java, you should remove Safari and the BSD kernel from OS X as well.
There is no BSD kernel in OS X. The entire OS is Darwin running an XNU kernel that has a BSD layer within it. There is no way to remove the BSD layer without removing the entire OS.
There is an awful lot of enterprise software that is built on Java, and security vulnerabilities are going to happen, be it in Java or in Safari or any other piece of software you happen to use.
Underlying requirement: that the user running the applet is an administrator (and while this is the default modus operandi as per the installation procedure of OS X, not every OS X user continues on this path).
The user is also alerted when the applet tries to run, and they would need to approve the privilege escalation request for the applet; it has an untrusted, self-signed cert.
Is the article correct?