Washington: In a major blow to Israel’s controversial spyware maker NSO Group, a US federal court has issued a permanent injunction prohibiting the company from attempting to hack or target Meta Platforms’ (WhatsApp) messaging service.
At the same time, the court granted partial relief to NSO Group by slashing the punitive damages from USD 167 million (around ₹1,390 crore) to USD 4 million (approximately ₹33 crore) — a 97% reduction. However, the injunction could severely threaten the company’s business operations.
The Pegasus Scandal and Case Background
The case stems from a 2019 lawsuit filed by Meta, which accused NSO Group of exploiting vulnerabilities in WhatsApp servers using its notorious spyware Pegasus to hack into around 1,400 user accounts. The targeted individuals reportedly included journalists, human rights activists, diplomats, and senior government officials.
Pegasus, known for its military-grade surveillance capabilities, can secretly access a smartphone’s messages, calls, camera, microphone, and location without user consent. Given WhatsApp’s global user base of over 2 billion people, it became one of Pegasus’s primary targets.
NSO Group’s Defence: “The Order Could Shut Us Down”
NSO Group argued in court that a permanent ban on its access to WhatsApp would “put the company’s entire enterprise at risk” and could effectively force it out of business.
The company reiterated that its spyware is sold only to government agencies and used solely for counterterrorism and law enforcement — not for civilian surveillance.
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Meta’s Reaction: “A Landmark Victory for Privacy”
Meta and WhatsApp executives hailed the court’s decision as a major win for digital privacy and accountability.
“Today’s ruling permanently bans spyware maker NSO from ever targeting WhatsApp or our global users again,”
said Will Cathcart, Head of WhatsApp.
“This is the result of six years of litigation to hold NSO accountable for cyberattacks on members of civil society.”
NSO Group Responds
In a statement, NSO Group welcomed the 97% reduction in damages to ₹33 crore but said it would review the judgment before deciding on further legal action.
“We are pleased that the court recognized our position on punitive damages. Our technology continues to help government agencies fight terrorism and serious crime,”
an NSO spokesperson said, adding that the injunction does not apply to NSO’s government clients, who will continue to use its surveillance tools “to ensure public safety.”
Ownership and Future Outlook
According to a report by TechCrunch, NSO Group was recently acquired by a consortium led by Hollywood producer Robert Simonds. However, Simonds has not commented publicly on the development.
Global Implications
Cybersecurity experts say the ruling will have far-reaching consequences for the global spyware industry, setting a legal precedent that prioritizes user privacy over corporate surveillance interests. This judgment underscores a clear message from US courts —
“No company, regardless of its power or clientele, can operate above privacy laws.”
The decision is expected to strengthen global digital rights enforcement and stands as a landmark moment in the ongoing struggle between technological innovation and individual freedom.
