Israeli Company’s Spyware Is Used to Target U.S. Embassy Employees in Africa
By Katie Benner, David E. Sanger and Julian E. Barnes
Dec. 3, 2021Updated 8:47 p.m. ET
https://www.nytimes.com/2021/12/03/us/politics/phone-hack-nso-group-israel-uganda.html

WASHINGTON — The iPhones of 11 U.S. Embassy employees working in Uganda were 
hacked using spyware developed by Israel’s NSO Group, the surveillance firm 
that the United States blacklisted a month ago because it said the technology 
had been used by foreign governments to repress dissent, several people 
familiar with the breach said on Friday.

The hack is the first known case of the spyware, known as Pegasus, being used 
against American officials. Pegasus is a sophisticated surveillance system that 
can be remotely implanted in smartphones to extract sound and video recordings, 
encrypted communications, photos, contacts, location data and text messages.

There is no suggestion that NSO itself hacked into the phones, but rather that 
one of its clients, mostly foreign governments, had directed it against embassy 
employees.

The disclosure is bound to heighten the tension with Israel over the recent 
American crackdown on Israeli firms that make surveillance software that has 
been used to track the locations of dissidents, listen in on their 
conversations and secretly download files that move through their phones. 
President Biden plans to make efforts to further crack down on the use of such 
software a key element of a summit next week at the White House, to which he 
has invited dozens of countries — including Israel.

U.S. diplomats have been hacked before, notably by Russia, which has repeatedly 
pierced the State Department’s unclassified email systems. But in this case, 
the software was written by a company that operates closely with one of the 
United States’ most vital allies — and a nation that often conducts 
cyberoperations alongside the National Security Agency, including against Iran.

NSO has long insisted that it carefully selects its clients, and turns many 
away. But the United States concluded last month that the company’s software, 
and its operations, run contrary to American foreign policy interests, and 
placed it on the Commerce Department’s “entities list,’’ which bans it from 
receiving key technologies.

Representatives for the State Department and Apple declined to comment.

NSO said in a statement that it would conduct an independent investigation into 
the allegations and cooperate with any government inquiry.

“We have decided to immediately terminate relevant customers’ access to the 
system, due to the severity of the allegations,” the company said. “To this 
point, we haven’t received any information nor the phone numbers, nor any 
indication that NSO’s tools were used in this case.”

Reuters reported earlier on Friday that Apple had notified the U.S. Embassy 
employees in Uganda last Tuesday about the hack. The people affected include a 
mix of foreign service officers and locals working for the embassy, all of whom 
had tied their Apple IDs to their State Department email addresses, according 
to a person familiar with the attack.
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“Apple believes you are being targeted by state-sponsored attackers who are 
trying to remotely compromise the iPhone associated with your Apple ID,” the 
notice from Apple said.

“These attackers are likely targeting you individually because of who you are 
or what you do. If your device is compromised by a state-sponsored attacker, 
they may be able to remotely access your sensitive data, communications, or 
even the camera and microphone. While it’s possible this is a false alarm, 
please take this warning seriously,” Apple said in the notice.
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NSO is one of several companies that make money by finding operating system 
vulnerabilities and selling tools that can exploit them.

Among those targeted by its users were confidants of Jamal Khashoggi, the 
Washington Post columnist who was dismembered by Saudi operatives in Turkey; an 
array of human rights lawyers, dissidents and journalists in the Emirates and 
Mexico, and even their family members living in the United States.

The Biden administration last month blacklisted NSO, its subsidiaries and an 
Israeli firm called Candiru, saying that they knowingly supplied spyware that 
has been used by foreign governments to “maliciously target” the phones of 
dissidents, human rights activists, journalists and others.

NSO and Candiru are not accused of maliciously hacking into phones themselves, 
but of selling tools to clients despite knowing that they would be used in 
malicious attacks.

The blacklist, which blocks American suppliers from doing business with those 
companies, represented a remarkable break with Israel and was the strongest 
step yet by any White House to curb abuses in the shadowy, unregulated global 
market for spyware.

The government phones that have been targeted so far have been unclassified, 
and there is no indication that the NSO exploits have been used to gain access 
to classified information, a senior administration official said.

“We were also very concerned about it because it poses a real and live 
counterintelligence and security risk for U.S. personnel and U.S. systems 
around the world,” a senior administration official said.

Apple created a patch in September that fixed the weakness in its mobile 
operating system. Since that patch only protects a phone after a user downloads 
the updated software, it is possible that hackers could continue to exploit the 
weakness to infiltrate phones that had yet to be updated.

Apple asked the State Department employees to take several precautions, 
including immediately updating their iPhones with the latest software 
available, which includes the patch. The company said that the attacks Apple 
had detected “are ineffective against iOS 15 and later.”

Apple’s notification to the diplomats, and to the U.S. government, came after 
the technology company filed suit against NSO for what it alleges are 
violations of the Computer Fraud and Abuse Act, a statute passed in 1986, when 
many computers had less computing power than current cellphones.

It is not clear Apple will prevail, because the statute is intended to protect 
computer users, not manufacturers. But the essence of the suit, and the 
addition of NSO to a U.S. blacklist, is an attempt to put the Israeli company 
in the same category as Chinese or Russian hacking groups, or ransomware 
operators that rent out their capabilities.

China has used similar types of spyware to repress Muslim minorities, as has 
Russia against dissidents. Saudi Arabia is believed to have used it in the 
killing of Mr. Khashoggi, and the subsequent effort to cover up the crime.

But until now, it was not known to have been directed at American diplomats.

The government actions, combined with Apple’s legal steps, should amount to a 
“multifaceted effort” to stop NSO and make its spying software less effective. 
According to public reports, Apple has notified people in El Salvador, Uganda 
and Thailand that their phones have been compromised.

The concern is that the spying technology is extremely stealth and can be 
placed on phones without users doing anything. Detecting that a phone has been 
compromised can also be quite difficult, the official said.

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