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Cyberweapon manufacturers plot to stay on the right side of US

Contrasting fates of Israeli spyware-makers Paragon and NSO reveal how American support is crucial in $12bn industry

In the summer of 2019, as Paragon Solutions was building one the world’s most potent cyberweapons, the company made a prescient decision: before courting a single customer, best get the Americans on side.

The Israeli start-up had watched local rival NSO Group, makers of the controversial Pegasus spyware, fall foul of the Biden administration and be blacklisted in the US. So Paragon sought guidance from top American advisers, secured funding from US venture capital groups and eventually scored a marquee client that eludes its competition: the US government.

Interviews with half a dozen industry figures about the divergent paths of the two companies underline how the shadowy spyware industry is being reshaped around those friendly to American interests.

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