Meta Wins $168M Verdict Against Spyware Firm NSO in WhatsApp Hacking Case

Meta Platforms (NASDAQ: META) has secured a major legal victory against Israeli surveillance company NSO Group, with a U.S. jury awarding the tech giant $168 million in damages. The case stems from a 2019 lawsuit over NSO’s alleged misuse of a vulnerability in WhatsApp to install Pegasus spyware on user devices.

A California jury awarded Meta $444,719 in compensatory damages and $167.3 million in punitive damages, reinforcing an earlier December ruling that found NSO unlawfully breached WhatsApp’s security. Meta hailed the decision as a milestone for user privacy and digital security, calling it "the first victory against the development and use of illegal spyware."

NSO, which has long defended its software as a tool to combat terrorism and child exploitation, stated it will examine the verdict and consider appealing. Despite this defense, the company has faced growing criticism for enabling human rights abuses, with its technology reportedly used in surveillance operations in Saudi Arabia, Mexico, Poland, and other countries.

The court proceedings offered rare insights into NSO’s operations, including its 140-person research team and a $50 million annual budget focused on exploiting smartphone vulnerabilities. The trial also revealed names of government clients such as Saudi Arabia, Mexico, and Uzbekistan.

The case spotlighted the broader surveillance tech industry, where spyware developers often escape legal consequences despite widespread misuse. Natalia Krapiva of Access Now emphasized the ruling’s significance, saying it sends a clear warning to spyware companies about accountability.

Judge Phyllis Hamilton noted NSO’s repeated refusal to comply with discovery orders, adding to the secrecy surrounding the case. Israeli authorities had previously seized NSO documents to prevent their disclosure in U.S. court. The ruling now sets a precedent for legal action against private spyware vendors globally.