The Atlantic Council has published its second annual report: “Mythical Beasts: Diving into the depths of the global spyware market.”

Too much good detail to summarize, but here are two items:

First, the authors found that the number of US-based investors in spyware has notably increased in the past year, when compared with the sample size of the spyware market captured in the first Mythical Beasts project. In the first edition, the United States was the second-largest investor in the spyware market, following Israel. In that edition, twelve investors were observed to be domiciled within the United States—­whereas in this second edition, twenty new US-based investors were observed investing in the spyware industry in 2024. This indicates a significant increase of US-based investments in spyware in 2024, catapulting the United States to being the largest investor in this sample of the spyware market. This is significant in scale, as US-based investment from 2023 to 2024 largely outpaced that of other major investing countries observed in the first dataset, including Italy, Israel, and the United Kingdom. It is also significant in the disparity it points to ­the visible enforcement gap between the flow of US dollars and US policy initiatives. Despite numerous US policy actions, such as the addition of spyware vendors on the …