U.S. Immigration and Customs Enforcement confirmed to lawmakers that it bought and used Paragon Solutions spyware, including Graphite, in investigations tied to drug trafficking, fentanyl networks, and other organizations using encrypted communications. Acting ICE Director Todd Lyons said the deployment complied with constitutional requirements and the 2023 executive order restricting government use of commercial spyware, but House Democrats including Rep. Summer Lee said ICE had not provided enough documentation, safeguards, or oversight to justify such invasive surveillance. The disclosure followed the reactivation of ICE’s Paragon contract after an earlier suspension for review, and came amid wider controversy over reports linking Paragon spyware to targeting of journalists and activists.
The admission intensified concerns that U.S. policy may be softening toward the commercial spyware industry even as evidence mounts that these vendors are driving serious cyber abuse. Reporting and research cited growing alarm over the lifting of sanctions on Intellexa executives, new U.S.-linked ownership of NSO Group and Paragon, and the expanding role of brokers, resellers, and other intermediaries that help spyware vendors evade export controls and obscure supply chains. Analysts also noted that Google attributed more zero-day exploitation to commercial surveillance vendors than to traditional state-backed groups in 2025, while lawmakers pressed for briefings on federal spyware use and U.S. investment in firms long associated with abuses involving Pegasus, Predator, and related surveillance tools.

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Rep. Summer Lee asked the Commerce Department to brief Congress on federal use of commercial spyware and on U.S. investment in spyware vendors, citing concerns about the administration's posture toward the industry.
Three House Democrats—Summer Lee, Shontel Brown, and Yassamin Ansari—publicly criticized ICE's confirmed use of Paragon spyware, arguing the agency had not provided sufficient documentation, safeguards, or meaningful oversight.
ICE confirmed to lawmakers that it bought and used Paragon Solutions spyware in investigations involving drug trafficking and other targets using encrypted communications, saying the use complied with constitutional requirements and applicable policy restrictions.
The Atlantic Council published an issue brief examining how brokers, resellers, infrastructure providers, and other intermediaries enable proliferation in the offensive cyber capabilities and spyware market while obscuring accountability.
A recent OMB memo rescinded earlier Biden administration federal software supply chain guidance, making mechanisms such as secure software development attestations and SBOM requests optional rather than durable requirements.
On March 6, the U.S. government issued an executive order aimed at raising costs for cybercriminals through coordination, disruption, prosecutions, intelligence sharing, resilience measures, and diplomatic pressure on states that shelter such operations.
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