NextFin news, On Friday, October 10, 2025, a group of US investors led by Hollywood producer Robert Simonds reached an agreement to acquire NSO Group, the Israeli company known for developing the Pegasus spyware used to infiltrate iPhones and other smartphones.
The deal was confirmed by NSO spokesperson Oded Hershowitz, who told TechCrunch that the American investment group has acquired controlling ownership by investing tens of millions of dollars. However, the exact financial terms and the identities of other investors remain undisclosed.
NSO Group’s Pegasus spyware has been widely criticized and embroiled in controversies for enabling government clients to target journalists, dissidents, and human rights activists in countries including India, Mexico, Morocco, Poland, Saudi Arabia, and the United Arab Emirates. The US Commerce Department banned American companies from trading with NSO in 2021 after it was found targeting US government officials abroad.
Despite the change in ownership, NSO’s spokesperson emphasized that the company’s headquarters and core operations will remain in Israel, continuing under the supervision and regulation of Israeli authorities, including the Ministry of Defense and the Israeli regulatory framework.
The acquisition is subject to approval by Israel’s Defense Export Control Agency and the US Federal Trade Commission (FTC). One potential regulatory hurdle is Robert Simonds’ prior business ties to China through his founding of STX Entertainment, which received investments from Chinese firms such as Hony Capital and Tencent.
As part of the acquisition, NSO’s co-founder and executive chairman Omri Lavie is expected to step down, marking a significant leadership change. Neither Lavie nor Simonds have publicly commented on the deal.
John Scott-Railton, a senior researcher at Citizen Lab who has investigated NSO’s spyware abuses for over a decade, expressed concerns about the acquisition, questioning the suitability of Simonds to oversee a company with such a controversial history. He stated, "This dictator tech does not belong anywhere near Americans or our constitutionally protected rights or freedoms."
NSO Group’s Pegasus spyware uses zero-click exploits to gain access to targeted devices without user interaction, primarily serving government clients for surveillance purposes. The company has faced multiple lawsuits, including a notable 2019 case by Meta, which was awarded $167 million in damages earlier this year for Pegasus-related hacking of WhatsApp users.
Robert Simonds previously joined NSO’s board and attempted to acquire the company in 2023 but resigned after the deal initially fell through. The renewed acquisition agreement signals a new chapter for NSO under American-led ownership while maintaining its Israeli operational base.
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