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Jury Awards Meta $168 Million in WhatsApp Spyware Case

Jury Awards Meta $168 Million in WhatsApp Spyware Case

Epoch Times07-05-2025
A California jury awarded Meta nearly $168 million in compensation on May 6 in a privacy case against Israeli spyware company NSO Group.
In October 2019, WhatsApp and Facebook, both of which operate under Meta, filed a
In December 2024, the U.S. District Court for the Northern District of California
On May 6, a jury
The jury agreed that WhatsApp has proven by 'clear and convincing evidence that NSO engaged in malice, oppression, or fraud in violating the California Comprehensive Computer Data Access and Fraud Act.'
The WhatsApp complaint was focused on NSO Group's Pegasus spyware, which was developed 'to be remotely installed and enable the remote access and control of information—including calls, messages, and location—on mobile devices using the Android, iOS, and BlackBerry operating systems,' the lawsuit said.
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'Pegasus was designed, in part, to intercept communications sent to and from a device, including communications over iMessage, Skype, Telegram, WeChat, Facebook Messenger, WhatsApp, and others,' it said.
WhatsApp alleged that NSO implanted Pegasus on WhatsApp users' phones and relayed data from compromised phones to NSO as well as NSO's customers.
In an April 2020 court
NSO said WhatsApp conflated NSO's actions with those of NSO's customers, such as sovereign governments.
The group's business model 'consists of selling NSO's Pegasus technology to governments and providing basic technical support for them,' the filing said.
'If anyone installed Pegasus on any alleged 'Target Devices,' it was not Defendants [NSO]. It would have been an agency of a sovereign government,' it said.
NSO said it never targeted anyone and contractually prohibits customers from using Pegasus to target individuals who are not suspected criminals or terrorists.
'If a government ever misused NSO's Pegasus technology to monitor WhatsApp users other than criminals or terrorists, Defendants have no knowledge of that misuse, which would be a violation of that government's contract with NSO,' the Israeli company said.
Protecting Privacy
Meta welcomed the court decision, saying in a May 6
'Today's verdict in WhatsApp's case is an important step forward for privacy and security as the first victory against the development and use of illegal spyware that threatens the safety and privacy of everyone,' the company said.
The jury's decision to impose fines against NSO is a 'critical deterrent to this malicious industry against their illegal acts aimed at American companies and the privacy and security of the people we serve,' it said.
Responding to the court decision, Gil Lainer, VP for global communications at NSO Group, told The Epoch Times that the company's technology has played 'a critical role in preventing serious crime and terrorism' and has been used in security operations that have saved American lives.
This perspective 'was excluded from the jury's consideration in this case,' said Lainer.
'We will carefully examine the verdict's details and pursue appropriate legal remedies, including further proceedings and an appeal,' he said.
'NSO remains fully committed to its mission to develop technologies that protect public safety, while continuously strengthening our industry-leading compliance framework and ensuring our technology is deployed solely for their legitimate, authorized purposes by legitimate sovereign governments.'
Digital rights advocacy group Access Now supported the court decision in a May 6
In December 2020, Access Now and its partners submitted an amicus brief in the case, detailing victims of NSO's alleged hacking of WhatsApp.
'This verdict sends a clear message to spyware companies that targeting people through U.S.-based platforms will come with a high price,' said Michael De Dora, U.S. policy and advocacy manager at the organization.
'It underscores the importance of U.S. institutions protecting the digital infrastructure and individuals that rely on it from unlawful surveillance.'
In November 2021, the U.S. Department of Commerce
'These entities developed and supplied spyware to foreign governments that used these tools to maliciously target government officials, journalists, businesspeople, activists, academics, and embassy workers,' the department said.
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Son Heung-min unveiled at LAFC press event; blockbuster signing reportedly sets MLS record
Son Heung-min unveiled at LAFC press event; blockbuster signing reportedly sets MLS record

USA Today

time36 minutes ago

  • USA Today

Son Heung-min unveiled at LAFC press event; blockbuster signing reportedly sets MLS record

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An Iconic San Diego Chinese Restaurant Returns After a Devastating Fire
An Iconic San Diego Chinese Restaurant Returns After a Devastating Fire

Eater

time36 minutes ago

  • Eater

An Iconic San Diego Chinese Restaurant Returns After a Devastating Fire

As dusk settles on a Thursday evening in the Convoy District, a line flows out of the door at China Max Dumpling House, snaking around the complex as customers wait to grab a table at the iconic Chinese restaurant, some waiting as long as four hours. This is China Max 2.0 with new owners and a new menu. Opened on March 1 and renamed China Max Dumpling House, the restaurant incorporates a more dumpling-centric model after the owners found success with their restaurant Dumpling Bar in Encinitas, which they opened in October 2024. China Max Dumpling House is one of the many San Diego Asian restaurants striving to compete in the dumpling space. Inspired by the astronomical success of Din Tai Fung, the privately held Taiwanese soup dumpling chain with 17 U.S. locations, Asian entrepreneurs are modeling their restaurant ventures after the casual dining concept that generates more revenue than any other American dining chain, including Mastro's Restaurants, Cheesecake Factory, and Nobu Restaurants, according to Restaurant Business Magazine. Din Tai Fung also keeps innovating by adjusting to American palates, such as adding chicken dumplings and mango shaved snow desserts to their menu. Matthew Kang Matthew Kang On weekdays, China Max Dumpling House hosts a promotional all-you-can-eat dumpling, soda, ice cream, and New York-style cheesecake deal for lunch and dinner. There's a 90-minute limit at the tables for the AYCE experience, and customers are getting their money's worth. The kitchen team folds wontons and soup dumplings at a rapid pace. The chefs continue to adjust the recipes to customers' tastes, like making the soup dumplings juicier and plumper, as well as adding crab xiao long bao, and a hand-rolled noodle dish with spicy peppercorn sauce. After five years of closure, one of the most beloved Chinese restaurants in San Diego reopened its doors after an accidental fire destroyed the iconic landmark during the COVID-19 pandemic in April 2020. The incident destroyed the restaurant and any hope that it could participate in the steady takeout business that helped restaurants and livelihoods during the lockdowns. When the original owners, Cindy Woo and her husband, opened China Max in 1983, it became a pioneering institution: one of the first Chinese restaurants to establish itself in San Diego's Convoy District, now well-known for its dim sum and Cantonese restaurants. Always bustling, the restaurant was a gathering spot for families and friends, often boasting lines out the door. 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In September 2024, the owners opened Dumpling Bar in Encinitas, which has gained popularity in the beach town. Liu says the success of Dumpling Bar influenced them to change China Max's menu to more of a dumpling focus. Another of their restaurants, Kanpai BBQ and Shabu, opened in August 2023, offering all-you-can-eat barbecue and shabu shabu. And finally, they opened a second Dumpling Bar in San Marino, California on May 1. China Max's journey to reopening did not unfold without challenges. The fire caused $4.5 million in damages. The team faced several roadblocks in the five-year process to rebuild. It had to navigate the city's permitting process, negotiate with insurance companies, and oversee major reconstruction, including the installation of a new foundation. 'Once the contractors did any part of the work, they needed to ask for reimbursement from the insurance company. [That process] took a long time for evaluations and negotiations,' says Liu. 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Kickstarted by the reopening of China Max Dumpling House, Asian businesses in this particular corner of the Convoy District are also rising from the ashes. Exterior of China Max Dumpling House. Matthew Kang Dining room. Matthew Kang Decorative steamer baskets on the wall. Matthew Kang

Hey, experts — admit what you got so wrong on Trump's tariffs
Hey, experts — admit what you got so wrong on Trump's tariffs

New York Post

timean hour ago

  • New York Post

Hey, experts — admit what you got so wrong on Trump's tariffs

Economists across the political spectrum predicted that President Donald Trump's trade negotiations would end in disaster. Now that his Aug. 1 deadline has passed without the sky falling — and with multiple advantageous deals completed — it's time to seriously reevaluate the flawed arguments the experts made against his strategy. Many, it turns out, made basic errors in economic reasoning. Advertisement On the left, Nobel laureate and Columbia professor Joseph Stiglitz declared in January that Trump's policy was 'very bad for America and for the world,' while University of Michigan economist Justin Wolfers called it 'impressively destructive.' On the right, prominent free-market advocates like George Mason's Donald Boudreaux also voiced strong opposition. Advertisement Yet their arguments against tariffs revealed a fundamental misunderstanding: They decried tariffs as uniquely harmful, while ignoring that the same logic applies to all taxes. Take the common critique that tariffs, as a tax on trade, reduce trade overall. Phil Gramm and Larry Summers — one conservative, one liberal — jointly argued that tariffs 'distort domestic production' by pushing resources toward less efficient uses. They warned tariffs would slow economic growth. Advertisement That's true. But every tax, including sales taxes and income taxes, discourages trade, distorts production and reduces growth. Sales taxes lower consumption. Income taxes discourage work. Corporate taxes deter investment. All taxes distort the economy — tariffs are no exception. Advertisement Another frequent claim is that tariffs hurt consumers. Again, true — just as all taxes do. Logically, opposing tariffs simply because they raise prices and reduce growth means we should oppose all taxes. But unless we abolish government spending — which stands at $7 trillion this year — we need taxes of some kind. That's why economists usually argue for minimizing the total economic damage that all taxes cause across the board. Distortions increase as tax rates do. Before Trump's policies, the average US tariff rate stood at just 2.5% — tiny compared to the 43.4% average top personal income tax rate (including federal and state taxes) or the 27.5% average total corporate tax rate. If we understand a tariff as a tax like any other, higher tariffs could in fact reduce the overall economic burden on American individuals and companies — an outcome that Trump has often touted as his ultimate goal. Advertisement It's unclear whether a 15% tariff is optimal, but it seems apparent now that a 2.5% rate was too low. Economists also missed how negotiation tactics work. Trump began with aggressive tariff threats, horrifying many economists — but the results speak for themselves. The United States has secured deals that dramatically opened foreign markets representing 55% of global GDP. Advertisement Even critics have had to acknowledge the shift. 'To avoid worst of Trump tariffs, [the European Union] accepted a lopsided deal,' The Washington Post conceded, while the London-based Financial Times described how the EU 'succumbed to Trump's tariff steamroller.' 'Under the new deal, US goods into Vietnam will not be taxed while Vietnamese exports will face a 20% US tariff,' the South China Morning Post explained — in coverage that described Hanoi's 'optimism' regarding the agreement. So while the United States is imposing higher tariffs on many imports, other countries lowered or removed their tariffs on American goods, and dropped many of their non-tariff barriers as well. Advertisement These are significant wins that economists failed to anticipate, and that few thought remotely possible even six months ago. Experts also ignored yet another of Trump's reasons for increasing tariffs: as a means of providing for national defense and global freedom of the seas, costs that Americans have borne for a century. Ideally, other countries would help pay for these efforts — how about they just send us a check for the share of benefits they are receiving? Advertisement But since that's not about to happen, tariffs may be the only viable alternative. Trump's trade policies defied economists' dire predictions, delivering substantial gains in opening foreign markets to American exports without tanking the US economy. If tariffs can help lower more damaging taxes while advancing strategic national interests, they deserve a more honest and nuanced evaluation. At the very least, economists should have the guts to admit they were wrong — and take a hard look at their conventional wisdom. John R. Lott Jr., president of the Crime Prevention Research Center, is an economist who has held research or teaching positions at the University of Chicago, Wharton Business School, Stanford, Yale and UCLA.

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