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Spyware maker Paragon has severed ties with the Italian government following a dispute over an investigation into the alleged hacking of journalist Francesco Cancellato’s phone. Paragon stated that it offered its assistance to determine whether its Graphite system was used against the journalist in violation of Italian law and contractual terms. However, the Italian authorities declined Paragon’s offer to independently verify the matter, leading the company to terminate its contracts in Italy. This marks the first instance of a spyware provider publicly acknowledging ending a contract with a government client due to concerns over potential abuse.

The Italian government, through its Department of Information for Security (DIS), rejected Paragon’s proposal, deeming it an “invasive practice” that was “unverifiable in scope, results and method.” The government also expressed concerns that accepting Paragon’s help would compromise national security and expose confidential data to a foreign private company. Several Italian news outlets reported on the government's decision.

The Parliamentary Committee for the Security of the Republic (COPASIR) conducted its own investigation, acknowledging that Italian intelligence services had used Paragon’s Graphite spyware to target phones belonging to civil society activists. However, the committee found no evidence that Cancellato was specifically targeted using the technology. This incident has raised questions about the use of spyware by governments and the need for greater transparency and accountability in the industry.
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References :
  • infosec.exchange: NEW: Spyware maker Paragon says it cancelled contracts with Italian spy agencies because the government refused help investigating spyware attack on journalist.
  • techcrunch.com: Paragon says it canceled contracts with Italy over government’s refusal to investigate spyware attack on journalist
  • Links: Spyware maker cuts ties with Italy after government refused audit into hack of journalist’s phone
  • www.metacurity.com: Starlink endangers WH security, Nigeria convicts Chinese cybercriminals, US sentences Nigerian hacker, ICE arrests Oz hacker, Italy ends contract with spyware company Paragon, Supreme Ct. gives DOGE our social security data, BADBOX 2.0 infects 1m+ devices, EU issues cyber blueprint, much more
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