NSO Group: Sort of For Sale and More Remarkable PR

July 12, 2022

I read “Defense Firm Said US Spies Backed Its Bid for Pegasus Spyware Maker.” Okay, NSO Group, the backchannel produced and identified L3 Harris. The proposed acquisition encountered headwinds. Not particularly surprising. What’s interesting is the “play” a specialized software vendor gets. The estimable New York Times, which is enthusiastic in its business reporting, states:

The talks continued in secret until last month, when word of NSO’s possible sale leaked and sent all the parties scrambling. White House officials said they were outraged to learn about the negotiations, and that any attempt by American defense firms to purchase a blacklisted company would be met by serious resistance. Days later, L3Harris, which is heavily reliant on government contracts, notified the Biden administration that it had scuttled its plans to purchase NSO, according to three United States government officials, although several people familiar with the talks said there have been attempts to resuscitate the negotiations.

I don’t have a dog in this fight. What catches my attention is that NSO Group and the Pegasus words are attention magnets. Doesn’t it seem reasonable that discussions about a company providing specialized hardware, software, and services acquiring an intelware vendor be handled the old fashioned way: Quietly and confidentially.

I have learned that quiet and confidential are not part of today’s world. Consequently, I read the articles about NSO Group and the “deal” and think:

  1. Another outfit (possibly not American) has an opportunity to snag the systems and methods, software, data, and customers of the PR magnet
  2. The use of NSO Group and its outstanding marketing and sales methods have altered in a substantive way the specialized software and services market. The changes may not be net positives in my opinion. (Way to go zoom zoom executives.)
  3. The let’s reveal as much as possible may have some downstream consequences because there are more significant clear and present data actions underway that deserve more attention. Will I mention TikTok and its data? No, of course not.

How much longer will the dead horse take whacks? Probably months, maybe years? And to what end? Selling real news? Embarrassing a US company? Providing weaponized information about political behaviors? My hunch is that the reason is, “Hey, it’s just right.” Do you agree L3 Harris?

Stephen E Arnold, July 12, 2022

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