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Italy cuts ties with Israeli firm Paragon after spyware scandal: What to know

The cancellation comes after reports revealed Paragon software being used to surveil Italian activists and, allegedly, a journalist.

An illustration photograph taken on April 17, 2025 shows Whatsapp web displayed on a laptop screen with a phone displaying the Whatsapp logo, in a residential property in Guildford, south of London. (Photo by Justin TALLIS / AFP) (Photo by JUSTIN TALLIS/AFP via Getty Images)
An illustration photograph taken on April 17, 2025, shows WhatsApp web displayed on a laptop screen in a residential property in Guildford, south of London. — USTIN TALLIS/AFP via Getty Images

Italy’s intelligence agencies have canceled contracts with Israeli spyware firm Paragon Solutions, according to a Monday report, following the discovery that its surveillance tools were allegedly used to monitor activists and journalists.

What happened: A report released Monday by Italy’s parliamentary intelligence oversight committee, COPASIR, said that Italian intelligence first suspended and then terminated the use of Paragon’s spyware. It is unclear when exactly the contract was cancelled.  

The spyware, called Graphite, can bypass smartphone encryption and extract internal messaging data. It had been supplied to Italy’s foreign intelligence agency, AISE, and domestic agency, AISI, per the report. The Italian government had authorized limited use of the spyware in 2023 and 2024 as part of criminal investigations into suspected terrorism, smuggling and espionage, the committee said.

Background: The cancellation follows controversy over Paragon’s software allegedly being used to spy on individuals in Italy, including the deputy editor of major Italian online newspaper Fanpage.it, Francesco Cancellato. Among others targeted were members of Mediterranea Saving Humans, a migrant rescue NGO critical of Prime Minister Giorgia Meloni’s right-wing government. 

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