Paragon Solutions Ends Spyware Contract with Italy Amid Allegations of Targeting Journalists and Activists

Paragon Solutions, a company known for its military-grade spyware called Graphite, has terminated its contract with the Italian government following allegations that its software was used to target at least 90 individuals, including investigative journalists and civil society activists.

The spyware, similar to NSO Group's Pegasus, can infect mobile phones without user interaction, granting full access to messages and encrypted chats on apps like WhatsApp and Signal.

The termination came after revelations that an Italian investigative journalist and two activists critical of Italy’s policies towards Libya were among those targeted.

Italy's contract with Paragon explicitly forbids targeting journalists or civil society members, a term reportedly breached, prompting Paragon to end the relationship.

The Italian government has denied involvement by domestic intelligence or other agencies in the alleged breaches.

However, opposition parties have expressed deep concern, calling for parliamentary scrutiny and questioning the government’s transparency.

WhatsApp disclosed that the spyware was used to infect phones through malicious PDFs sent via group chats, with no user action needed to trigger the infection.

The targets spanned multiple European countries, raising broader questions about the use of such surveillance tools.

Paragon’s decision follows a temporary suspension of the contract and reflects growing ethical concerns about spyware misuse.

The company was recently acquired by AE Industrial Partners, a US-based investment firm focused on national security markets.

Paragon also holds a contract with the US Immigration and Customs Enforcement agency, which has been under review.

This case highlights ongoing tensions between government surveillance practices and the protection of fundamental rights, particularly press freedom and privacy, in democratic societies.