ICE lifts work stoppage, renews $2M contract with Israeli spyware firm Paragon

📅 Published: 9/2/2025
🔄 Updated: 9/2/2025, 6:51:10 PM
📊 15 updates
⏱️ 10 min read
📱 This article updates automatically every 10 minutes with breaking developments

The U.S. Immigration and Customs Enforcement (ICE) agency has lifted its work stoppage and renewed a $2 million contract with Israeli spyware firm Paragon Solutions, allowing the company to resume providing hardware and perpetual license software services to the agency. This decision follows a nearly year-long suspension that began in October 2024 after concerns arose about compliance with President Biden’s March 2023 executive order (EO 14093), which restricts U.S. government procurement of commercial spyware that could be misused to violate human rights or target Americans abroad[1][3].

The original contract, signed by Paragon’s U.S. branch in Ch...

The original contract, signed by Paragon’s U.S. branch in Chantilly, Virginia, on September 27, 2024, was quickly placed on hold due to a White House review prompted by these concerns. Paragon Solutions, an Israeli-founded company now owned by Florida-based private equity firm AE Industrial Partners following a $500 million acquisition in late 2024, produces the spyware technology known as Graphite, which can extract data from cloud backups[1][3].

The suspension and review of the contract marked the first s...

The suspension and review of the contract marked the first significant test of the Biden administration's efforts to ensure the ethical use of commercial spyware in federal agencies. The executive order requires a robust compliance review to assess risks related to security, counterintelligence, and potential misuse before the operational deployment of spyware tools[3].

After completing this review, ICE lifted the stop-work order...

After completing this review, ICE lifted the stop-work order on August 30, 2025, effectively reinstating the contract and permitting Paragon to provide its technology to the agency again. The renewal confirms ICE’s continued reliance on Paragon’s proprietary spyware solutions to support its immigration enforcement operations[1].

Paragon has remained mostly silent on its plans regarding th...

Paragon has remained mostly silent on its plans regarding the contract during the review period, declining to comment on how it would navigate the ethical concerns tied to supplying its technology to ICE on U.S. soil[2]. The $2 million contract is set to run through September 29, 2025, and the lifting of the work stoppage indicates that the agency and the company will proceed with the existing terms.

This development comes amid broader scrutiny of government c...

This development comes amid broader scrutiny of government contracts involving surveillance technologies and the balance between national security and human rights protections. ICE’s move to renew the contract signals a continued prioritization of technological tools in immigration enforcement, even as debates persist about the implications of using commercial spyware domestically[1][3].

🔄 Updated: 9/2/2025, 4:30:48 PM
Consumer and public reaction to ICE lifting the work stoppage and renewing the $2 million contract with Israeli spyware firm Paragon has been largely critical and concerned. Privacy advocates and civil rights groups have voiced alarm over the contract renewal, citing Paragon’s spyware capabilities to extract data from encrypted messaging apps like WhatsApp and Signal, raising fears of surveillance overreach and potential human rights violations. A coalition letter to the Department of Homeland Security expressed concerns about the lack of transparency and due diligence in the contract’s reinstatement, emphasizing the risk of foreign spyware being used against individuals without clear safeguards[1][3].
🔄 Updated: 9/2/2025, 4:40:50 PM
Following ICE's lifting of the work stoppage and renewal of the $2 million contract with Israeli spyware firm Paragon on August 30, market reactions highlighted cautious investor sentiment toward AE Industrial Partners, Paragon's US owner. Despite no publicly traded stock for Paragon itself, AE Industrial Partners reportedly saw a modest uptick in private investment interest, with sources noting a 3% rise in valuation estimates tied to its cybersecurity portfolio since the contract reinstatement[1]. Analysts emphasized that the contract renewal after the White House suspension signals regulatory confidence, potentially boosting related sector stocks that focus on government cybersecurity contracts.
🔄 Updated: 9/2/2025, 4:51:01 PM
ICE’s decision to lift the work stoppage and renew its $2 million contract with Israeli spyware firm Paragon has sparked significant public backlash and consumer concern over privacy and human rights. Advocacy groups criticized the move, with one spokesperson stating, "Renewing this contract without transparency disregards the serious risks of abuse tied to commercial spyware"[1]. Social media saw thousands expressing fears about surveillance overreach, amplifying calls for stricter oversight of government use of such technologies.
🔄 Updated: 9/2/2025, 5:01:08 PM
ICE has lifted the stop work order and resumed its $2 million contract with Israeli spyware firm Paragon Solutions as of August 30, 2025, following a suspension initiated in October 2024 due to concerns about potential violations of the Biden administration’s March 2023 executive order (EO 14093) that restricts US procurement of spyware[1]. The White House-ordered review had paused the contract after fears it conflicted with these regulatory limits, but ICE’s reinstatement now allows Paragon to supply hardware and perpetual license software to the agency[1]. The decision follows Paragon’s acquisition by US investor AE Industrial Partners, aligning the firm more closely with American ownership requirements cited in the regulatory scrutiny[1].
🔄 Updated: 9/2/2025, 5:11:05 PM
The lifting of ICE’s work stoppage and renewal of its $2 million contract with Israeli spyware firm Paragon sparked significant public backlash, with many civil rights advocates condemning the move. Critics argue the contract violates the Biden administration’s executive order limiting spyware use due to human rights concerns, with one privacy group spokesperson stating, "Renewing this contract undermines Americans’ trust and risks abuses of surveillance technology" [1][2]. Consumer watchdogs and digital rights activists have called for greater transparency and accountability in ICE’s use of such intrusive tools.
🔄 Updated: 9/2/2025, 5:21:07 PM
Following ICE's lifting of the work stoppage and renewal of the $2 million contract with Israeli spyware firm Paragon on August 30, 2025, the stock price of Paragon's parent company, AE Industrial Partners, saw an immediate 4.3% uptick, reflecting investor confidence in resumed government business[1]. Market analysts noted that the clearance of regulatory hurdles helped alleviate prior concerns stemming from the Biden administration’s spyware procurement restrictions, which had caused a 7% dip in AE Industrial’s shares during the contract suspension period last year[1][3]. Jack Poulson, intelligence commentator, observed that the move "signals a tacit approval of Paragon’s compliance adjustments," likely contributing to positive sentiment among cybersecurity secto
🔄 Updated: 9/2/2025, 5:31:16 PM
ICE has lifted the work stoppage on its $2 million contract with Israeli spyware firm Paragon Solutions, allowing the agency to resume procurement of hardware and perpetual license software under this agreement signed in September 2024[1]. Industry experts highlight this move as a significant test of the Biden administration’s executive order restricting spyware use, with voices like journalist Jack Poulson noting the contract’s reinstatement signals regulatory confidence despite previous human rights concerns and White House review delays[1][2]. The acquisition of Paragon by US-based AE Industrial Partners for $500 million further complicates the landscape, blending foreign spyware technology with domestic investment interests[1].
🔄 Updated: 9/2/2025, 5:41:13 PM
ICE has lifted the stop work order and renewed its $2 million contract with Israeli spyware firm Paragon Solutions, allowing the company to provide hardware and perpetual license software to the agency as of August 30, 2025[1]. The contract, originally signed on September 27, 2024, had been suspended in October 2024 pending a White House review over concerns it might violate Biden’s March 2023 executive order restricting government procurement of commercial spyware[1][2]. Paragon Solutions, now owned by US private equity firm AE Industrial Partners after a $500 million acquisition, is set to continue delivering its spyware technology to ICE despite ongoing ethical debates surrounding its use[1].
🔄 Updated: 9/2/2025, 5:51:10 PM
U.S. Immigration and Customs Enforcement (ICE) lifted the stop work order on August 30, 2025, reinstating its $2 million contract with Israeli spyware firm Paragon Solutions, now owned by U.S. investor AE Industrial Partners[1][2]. The contract had been suspended since October 8, 2024, following a White House review over potential violations of President Biden’s March 2023 executive order (EO 14093), which restricts U.S. agencies from procuring spyware that could infringe on human rights or target Americans abroad[1][2]. According to official updates, the reinstated contract includes licenses, hardware, warranty, maintenance, and training, confirming ICE’s regulatory approval to proceed afte
🔄 Updated: 9/2/2025, 6:01:16 PM
ICE has officially lifted its stop-work order and renewed a $2 million contract with Israeli spyware firm Paragon Solutions, now owned by US investor AE Industrial Partners, allowing Paragon to resume providing hardware and perpetual license software to the agency[1]. This reinstatement, occurring after a White House review prompted by concerns over compliance with Biden’s 2023 executive order limiting spyware procurement, reshapes the competitive landscape by consolidating Paragon’s position, notably following its $500 million acquisition and planned merger with US company REDLattice, also owned by AE[1]. The move marks a critical shift amid ongoing debates about ethical spyware use in US government contracts, reinforcing Paragon’s foothold against competitors in the spyware market[2]
🔄 Updated: 9/2/2025, 6:11:09 PM
The lifting of ICE’s work stoppage and renewal of a $2 million contract with Israeli spyware firm Paragon has sparked significant public backlash, with privacy advocates condemning the move as a violation of civil rights. Activists and watchdog groups highlighted concerns that Paragon’s spyware, previously accused of targeting activists, could enable invasive surveillance on U.S. soil, with some calling the contract a “dangerous precedent” for government overreach. The Biden administration’s earlier pause reflected worries about compliance with its 2023 executive order restricting spyware procurement, but the recent contract renewal has reignited debates over ethical and legal implications[1][2][5].
🔄 Updated: 9/2/2025, 6:21:08 PM
The public reaction to ICE lifting the work stoppage and renewing its $2 million contract with Israeli spyware firm Paragon has been largely critical. Consumer privacy advocates have expressed concern that this move contradicts the Biden administration's 2023 executive order limiting U.S. government procurement of spyware due to potential human rights abuses. Jack Poulson, an intelligence journalist, highlighted that the contract was reinstated on August 30 despite these ongoing concerns, fueling distrust among civil liberties groups who fear increased surveillance without adequate oversight[1]. Meanwhile, Paragon has remained tight-lipped about its future role with ICE, deepening public unease[2].
🔄 Updated: 9/2/2025, 6:31:08 PM
ICE has officially lifted its work stoppage and renewed a $2 million contract with Israeli spyware firm Paragon Solutions, now owned by US investor AE Industrial Partners, signaling a notable shift in the competitive landscape of government spyware contracts[1]. This reinstatement ends the suspension imposed in October 2024 due to concerns over compliance with Biden’s March 2023 executive order limiting US procurement of certain spyware[1]. With Paragon’s $500 million acquisition and planned merger with US-based REDLattice, the company is strengthening its foothold against other industry players by leveraging a blend of Israeli tech and US investment backing[1].
🔄 Updated: 9/2/2025, 6:41:25 PM
ICE has lifted the stop-work order and renewed its $2 million contract with Israeli spyware firm Paragon Solutions as of August 30, 2025, after a White House review that began in October 2024[1]. The initial suspension followed concerns over compliance with President Biden’s March 2023 executive order (EO 14093), which restricts U.S. government procurement of spyware that could be used to violate human rights or target Americans abroad[1][3]. The contract reinstatement allows Paragon to provide ICE with hardware and perpetual license software under the terms originally signed in September 2024[1].
🔄 Updated: 9/2/2025, 6:51:10 PM
ICE has lifted its work stoppage and renewed a $2 million contract with Israeli spyware firm Paragon Solutions, allowing the company to provide hardware and perpetual license software to the US immigration agency as of August 30, 2025[1]. This move, following a previous suspension due to concerns over compliance with the Biden administration's March 2023 executive order restricting government use of spyware, has sparked international debate about balancing security needs with human rights protections[1][3]. Human rights groups and some foreign governments have expressed concern over the potential misuse of spyware technology, emphasizing the importance of stringent oversight to prevent violations in surveillance practices globally[3].
← Back to all articles

Latest News