Former Pegasus spyware co-creator Shalev Hulio is urging world leaders to ditch American AI companies and build their own sovereign software instead. The controversial founder now heads an artificial intelligence cyber defense startup called Dream. He believes trusting foreign tech giants with sensitive national security data puts governments at massive risk during future crises.
In a recent interview with the Financial Times, Hulio argued that every country needs total control over its own digital infrastructure. Relying on Silicon Valley platforms leaves national defense systems vulnerable if a provider decides to shut down access overnight. Instead of buying bloated commercial models, he recommends building narrow security tools that run locally on just 1, 2, or 3 GPUs (via TechRadar).
Spyware origins and cyber defense pivots
Hulio previously faced worldwide backlash for creating Pegasus software, which hacked thousands of phones by exploiting a 1-click flaw in WhatsApp. After stepping down from NSO Group, he teamed up with former Austrian chancellor Sebastian Kurz in 2022 to start Dream. Their new firm recently claimed its defense systems spotted an automated AI cyberattack targeting government agencies in Taiwan.
Investors have already poured $400 million into the startup, boosting its valuation to $3 billion earlier this year. Over 12 countries across Europe, Asia, and the Middle East now use its custom security software for defense work. Training lean models on private data keeps sensitive intelligence logs from ever crossing international borders.
Sovereign AI debates and national security risks
Pushing for sovereign AI touches on a growing fear among world leaders who worry about depending too much on foreign tech labs. Running local servers gives government agencies total control without risking sudden service cutoffs during geopolitical conflicts. Still, privacy critics find plenty of irony in a former spyware boss giving lectures on digital trust.
Despite that skepticism, demand for locally controlled security tools is picking up across global defense departments. Figuring out how to balance digital independence against high hardware costs will determine how smaller nations budget for AI. Watching how world leaders handle these pitches will show if countries actually break away from foreign cloud platforms.
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