Eight Things We Learned From The NSO Spyware Trial
Last week, the highly anticipated trial of NSO Group, the company behind the infamous Pegasus spyware, came to a close. During the trial, we learned some shocking details about the company's business practices, financial struggles, and personal habits. Here are eight things that stood out from the trial:
1. The Price Of Advanced Spyware
An NSO Group employee revealed during testimony that the "standard price" for accessing Pegasus spyware is $7 million, plus an additional $1 million or so for "covert vectors". These new details offer a glimpse into how much advanced spyware like Pegasus can cost paying governments. The prices of spyware and zero-days can vary depending on several factors: the customer, given that some spyware makers charge more when selling to countries like Saudi Arabia or the United Arab Emirates, for example; the number of concurrent targets that the customer can spy on at any given time; and feature add-ons, such as zero-click capabilities.
2. NSO Group's Dire Financial State
The trial revealed that NSO Group lost $9 million in 2023 and $12 million in 2024. The company also had $8.8 million in its bank account as of 2023, and $5.1 million in the bank as of 2024. However, it burns through around $10 million each month, mostly to cover the salaries of its employees. This highlights the financial struggles the company is facing.
3. The Cost Of European Customers
During their testimony, an NSO Group employee revealed how much the company charged European customers to access its Pegasus spyware between 2018 and 2020. The "standard price" for a covert vector was $1 million, which is significantly higher than the cost paid by other customers.
4. NSO Group's Headquarters Are Openly Advertised
The fact that NSO Group's headquarters are openly advertised is somewhat interesting on its own. Other companies that develop spyware or zero-days like the Barcelona-based Variston, which shuttered in February, was located in a co-working space while claiming on its official website to be located somewhere else.
5. The Spyware Maker Was Hoping To Get Away With Little Or No Damages
During his testimony, NSO Group's CEO Shohat said that the company is "struggling to keep our head above water". He added that they are committing to their chief financial officer just to prioritize expenses and ensure they have enough money to meet their commitments. This highlights how much pressure the company was under during the trial.
6. Pegasus Spyware Costs European Customers Millions
Shohat revealed that NSO Group's customers pay "somewhere in the range" between $3 million and "ten times that" for access to its Pegasus spyware. This offers a glimpse into how much advanced spyware like Pegasus can cost paying governments.
7. The Spyware Maker Spends Millions On Research And Development
During the trial, NSO Group revealed that their research and development unit spent some $52 million in expenses during 2023, and $59 million in 2024. This highlights the significant investment the company makes into finding vulnerabilities in software and figuring out how to exploit them.
8. The Company's Customers Pay A Lot For Access To Spyware
The prices of spyware and zero-days can vary depending on several factors: the customer, given that some spyware makers charge more when selling to countries like Saudi Arabia or the United Arab Emirates, for example; the number of concurrent targets that the customer can spy on at any given time; and feature add-ons, such as zero-click capabilities. However, it is clear that NSO Group's customers are willing to pay a significant amount for access to its Pegasus spyware.