I recently started using Xcode 4.2 and the iOS 5 simulator. When I update an older version of my app pre-installed in the simulator, it updates the app just fine but the app ico
I've had this problem for a while and cleaning the project didn't work either. I finally found a trick to do this. It works at least in iOS 6, I'm not sure in previous versions. The trick is to simply move the app to a folder. The moment you move it there it should display the new icon, and then you can move it out again.