NSO Group
Israeli offensive cyber company (Herzliya, founded 2010 by Shalev Hulio and Omri Lavie), maker of the Pegasus spyware platform. In October 2025, control passed to a US investor group led by Robert Simonds, ending Israeli ownership, though it remains Israeli-regulated. Both founders have exited; no CEO had been named as of mid-2026. Remained on the US Entity List as of August 2026. A federal judge permanently enjoined NSO over WhatsApp hacking in October 2025, reducing the jury's punitive award to roughly $4 million.
NSO Group is an Israeli offensive cyber company headquartered in Herzliya, founded in 2010 by Shalev Hulio and Omri Lavie, best known for the Pegasus spyware platform. Control of the company passed out of Israeli hands in October 2025, when a group of American investors led by Hollywood producer Robert Simonds acquired controlling ownership, though NSO's headquarters, operations and export licensing remain subject to Israeli Ministry of Defense oversight.
What Is Pegasus and Who Buys It?
NSO's flagship product is Pegasus, a zero-click mobile interception platform that targets iOS and Android devices, sold exclusively to sovereign government clients, primarily intelligence services, law enforcement agencies and military signals units, under end-use restrictions overseen by Israel's Defense Export Controls Agency (DECA). Pegasus has been the subject of investigative reporting by the Pegasus Project consortium, Citizen Lab at the University of Toronto, and Amnesty International's Security Lab.
How Did NSO Group End Up Under US Ownership?
NSO's shares had been held since March 2023 by a Luxembourg-based holding company wholly owned by co-founder Omri Lavie. On October 10, 2025, NSO confirmed that an American investment group led by Robert Simonds had invested tens of millions of dollars and acquired controlling ownership, in a deal Calcalist reported was expected to include divestment of roughly $500 million of NSO debt, a value far below the company's peak valuation. Lavie's involvement with the company ended as part of the deal, and neither of NSO's founders holds any remaining stake. No successor chief executive had been publicly identified as of mid-2026, following Yaron Shohat's departure from the role in January 2026. NSO has said the ownership change does not move the company out of Israeli regulatory or operational control, since its headquarters and core operations remain in Israel under Ministry of Defense supervision.
Is NSO Still on the US Entity List?
The US Department of Commerce placed NSO Group on the Bureau of Industry and Security Entity List in November 2021, citing the supply of spyware used to target journalists, activists and government officials. NSO remained on the list as of August 2026, despite insiders suggesting the US ownership change was partly designed to support a case for removal and entry into the US market; a prior 2025 attempt to get off the list was denied.
What Happened in the WhatsApp Litigation?
A federal judge in California permanently barred NSO on October 17, 2025 from reverse-engineering WhatsApp, creating WhatsApp accounts, or retaining WhatsApp source code, and separately reduced the jury's original punitive damages award to just over $4 million. NSO is appealing the underlying liability finding, the damages award and the injunction, and its motion to stay enforcement was denied.
Where Does NSO Sit in Israel's Offensive-Cyber Cohort?
NSO sits at the center of a broader Israeli offensive-cyber cohort that includes Cellebrite, Paragon, Candiru, Quadream and Verint's offensive-tools spinouts. Many cohort founders trace their training to Unit 8200 and adjacent IDF signals-intelligence formations. The company remains one of the most-cited single companies in global commercial-spyware policy debates over export-controls reform and the boundary between lawful intercept and human-rights abuse.
Related Olam Coverage
- NSO Group: Pegasus, the Entity List, and the WhatsApp Litigation
- Shalev Hulio: NSO's Co-Founder, Dream's $3B Pivot
- The BIS Entity List: What It Does to an Israeli Company
See also: Pegasus · Unit 8200 · Cellebrite · Zero-Day · DECA · Defense Export License · Dream