US Court Prohibits Israeli Spyware Firm NSO Group from Targeting WhatsApp Users

A US federal court has issued a landmark injunction permanently banning Israeli spyware company NSO Group from deploying or installing its surveillance software on WhatsApp. However, the same ruling reduced a damages award against the firm from $168 million to just $4 million, citing insufficient grounds for such a high penalty.

Case Overview

District Judge Phyllis Hamilton found that NSO Group’s conduct caused “irreparable harm” to WhatsApp and its users and that the company’s spying activities were ongoing, warranting a permanent injunction.

In her written judgment, Hamilton noted that while NSO’s actions were “serious,” they did not reach the “particularly egregious” threshold necessary to justify the jury’s original damages calculation.

“There have simply not yet been enough cases involving unlawful electronic surveillance in the smartphone era for the court to conclude that defendants’ conduct was ‘particularly egregious’,” the ruling stated.

The judge added that as digital privacy law continues to evolve, “more of a shared societal consensus may emerge about the acceptability of defendants’ conduct.”

Meta, the parent company of WhatsApp, welcomed the injunction as a major victory for digital privacy.

WhatsApp chief Will Cathcart said in a statement: “Today’s ruling bans spyware maker NSO from ever targeting WhatsApp and our global users again. We applaud this decision that comes after six years of litigation to hold NSO accountable for targeting members of civil society.”

Cathcart emphasised that the company would continue its efforts to protect users against malicious actors seeking to exploit digital communications platforms.

According to evidence presented during the trial, NSO Group reverse-engineered WhatsApp’s source code to infiltrate users’ devices. The company allegedly installed spyware secretly, enabling the monitoring of communications belonging to:

• Journalists
• Lawyers
• Human rights defenders
• Political dissidents

The spyware, which was repeatedly redesigned, was found to have circumvented security updates and detection mechanisms within WhatsApp’s infrastructure.

The court concluded that NSO’s tactics involved the deployment of malicious software disguised as legitimate WhatsApp network traffic. This allowed the spyware to infect approximately 1,400 target devices globally, effectively compromising the end-to-end encryption safeguards of the messaging service.

About NSO Group and Its Spyware

NSO’s Pegasus spyware has been internationally condemned for its highly invasive capabilities, including:

• Activating cameras and microphones remotely.
• Accessing stored data, messages, and contacts.
• Turning smartphones into “pocket surveillance devices.”

Independent cybersecurity experts have traced Pegasus use to numerous governments, including regimes with poor human rights records, often against activists, journalists, and opposition figures.

NSO Group, however, continues to insist that it sells its tools exclusively to government agencies for use in combating serious crimes and terrorism.

The ruling represents a significant precedent in the legal battle over state-sponsored hacking and private-sector surveillance tools.

While the injunction restricts NSO’s activities specifically on WhatsApp, the decision reinforces the responsibility of digital platforms to defend users against unlawful surveillance.

Legal experts suggest the case could influence future lawsuits involving commercial spyware, particularly in jurisdictions seeking to establish clearer boundaries between legitimate security operations and human rights violations.

Key Takeaways

• The injunction permanently prohibits NSO Group from using or deploying spyware via WhatsApp.
• The court cut damages from $168 million to $4 million, citing insufficient precedent for higher penalties.
• NSO’s Pegasus tool continues to face global scrutiny for enabling unauthorised surveillance.
• The ruling strengthens privacy rights and sets a benchmark for digital accountability in the era of cyberespionage.