NSO Group owes $168M in damages to WhatsApp over spyware infections, jury says

It’s a major ruling in a landmark lawsuit that has had plenty of twists and turns — with more likely to come.

A federal jury decided Tuesday that NSO Group must pay WhatsApp approximately $168 million in damages after a judge ruled that it violated anti-hacking laws when 1,400 of the messaging application’s users became infected with Pegasus spyware.

It’s the latest in a series of wins in court for WhatsApp in its pioneering lawsuit that has produced revelations about the spyware maker’s operations — and captured the Supreme Court’s attention.

In December, Northern California District Court Judge Phyllis Hamilton ruled in favor of WhatsApp in its civil case. Beyond violations of U.S. and California anti-hacking laws, the judge also found fault with NSO Group over court orders to produce evidence. 

Now, the jury has settled on nearly $167.3 million in punitive damages and $444,719 in compensatory damages that NSO Group must pay. Hamilton had limited the kinds of evidence NSO Group could use in making its case before the jury.

“Today’s verdict in WhatsApp’s case is an important step forward for privacy and security as the first victory against the development and use of illegal spyware that threatens the safety and privacy of everyone,” Meta, the parent company of WhatsApp, said in a forthcoming blog post. “Today, the jury’s decision to force NSO, a notorious foreign spyware merchant, to pay damages is a critical deterrent to this malicious industry against their illegal acts aimed at American companies and the privacy and security of the people we serve.”

NSO Group spokesman Gil Lanier responded to the ruling by saying that “we firmly believe that our technology plays a critical role in preventing serious crime and terrorism and is deployed responsibly by authorized government agencies.

“This perspective, validated by extensive real-world evidence and numerous security operations that have saved many lives, including American lives, was excluded from the jury’s consideration in this case,” he continued. “NSO remains fully committed to its mission to develop technologies that protect public safety, while continuously strengthening our industry-leading compliance framework and ensuring our technology is deployed solely for their legitimate, authorized purposes by legitimate sovereign governments.”

Both sides said they expect additional court action before all is said and done.

“In this specific case, we know we have a long road ahead to collect awarded damages from NSO and we plan to do so,” the Meta post reads. “Ultimately, we would like to make a donation to digital rights organizations that are working to defend people against such attacks around the world. Our next step is to secure a court order to prevent NSO from ever targeting WhatsApp again.”

Said Lanier: “Today’s jury decision marks another step in a lengthy judicial process. … We will carefully examine the verdict’s details and pursue appropriate legal remedies, including further proceedings and an appeal.”

Meta accuses NSO Group of defying spyware injunction, files contempt of court complaint

The company said it spotted a spearphishing campaign linked to the Israeli spyware maker targeting WhatsApp users, despite a court order prohibiting it.

WhatsApp releases account feature that looks to combat spyware

NSO Group argues WhatsApp injunction threatens existence, future U.S. government work

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