Israeli tech firm NSO fined $167mln in Pegasus WhatsApp hack case
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The Israeli firm behind Pegasus spyware must pay WhatsApp $167 million in a landmark ruling over illegal surveillance of more than 1,000 users.
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A logo adorns a wall on a branch of the Israeli NSO Group company, near the town of Sapir, Tuesday, Aug. 24, 2021 (AP)
NSO, the Israeli firm behind the controversial Pegasus spyware, has been ordered to pay $167 million to WhatsApp, following a landmark lawsuit over the unauthorized surveillance of 1,400 users in 2019, BBC reported.
The ruling marks a significant step in holding spyware developers accountable for exploiting vulnerabilities in mobile platforms.
The case, brought by WhatsApp’s parent company Meta, also resulted in an additional $444,000 in damages awarded to the tech giant.
Read more: US judge rules Israeli NSO Group liable for WhatsApp hacking
Pegasus accused of enabling global surveillance abuses
Pegasus is a form of malicious software developed by the NSO Group, capable of remotely infiltrating mobile phones and accessing cameras, microphones, and data without the user's knowledge.
Though the company insists the spyware is used solely against terrorists and serious criminals, it has faced extensive criticism for allegedly enabling authoritarian regimes to target journalists, political figures, and activists.
The spyware gained international notoriety in 2021 when a leaked list of 50,000 phone numbers—suspected targets of surveillance—was obtained by major global media outlets. The list included journalists, Arab royals, politicians, and activists, raising alarms about widespread misuse.
Read more: Israeli Pegasus, among others, puts media freedom in EU at climax risk
Meta calls verdict victory for tech and privacy rights
Meta hailed the jury’s decision as a milestone, as it is "the first victory against the development and use of illegal spyware.”
"The jury's decision to force NSO to pay damages is a critical deterrent to this malicious industry against their illegal acts aimed at American companies," the company said.
Among those believed to have been targeted by Pegasus are French President Emmanuel Macron, associates of Jamal Khashoggi—the Saudi journalist murdered in Istanbul in 2018—and officials within the UK’s Downing Street and Foreign Office, according to findings by Canadian-based Citizen Lab.
The spyware’s reach and discretion have made it a global concern, prompting investigations, sanctions, and calls for regulation of digital surveillance tools.
Legal precedent could trigger more lawsuits against NSO
This case marks the first time a spyware developer has been legally penalized for exploiting smartphone vulnerabilities.
NSO Group responded to the ruling by saying it would “carefully examine the verdict’s details and pursue appropriate legal remedies, including further proceedings and an appeal.”
Despite denying wrongdoing, NSO may now face further legal challenges from other technology companies whose platforms were allegedly compromised by Pegasus.
"We firmly believe that our technology plays a critical role in preventing serious crime and terrorism and is deployed responsibly by authorised government agencies," NSO said in a statement.
The lawsuit caps a six-year legal battle between Meta and the NSO Group, setting a precedent for future accountability in the spyware industry.
Read more: Israeli attempts to obstruct US case against Pegasus spyware exposed
