June 16, 2022
News Release

Lookout Discovers Android Spyware Deployed in Kazakhstan

Sophisticated malware tooling designed to provide surveillance capabilities to nation states

SAN FRANCISCO, June 16, 2022 – Lookout, Inc., a leader in endpoint and cloud security solutions, today announced the discovery of an enterprise-grade Android surveillanceware currently used by the government of Kazakhstan within its borders. Lookout researchers also found evidence of deployment of the spyware – which Lookout researchers have named “Hermit” – in Italy and in northeastern Syria. 

Hermit is likely developed by Italian spyware vendor RCS Lab S.p.A. and Tykelab Srl, a telecommunications solutions company that may be operating as a front company. RCS Lab, a known developer that has past dealings with countries such as Syria, operates in the same market as Pegasus developer NSO Group Technologies and Gamma Group, which created FinFisher. This discovery appears to mark the first time that a current client of RCS Lab’s mobile spyware has been publicly identified.

Hermit is a modular surveillanceware that hides its malicious capabilities in packages downloaded after it has been deployed. Researchers were able to obtain and analyze 16 of the 25 known modules. The modules, along with the core malware’s permissions, enable Hermit to exploit a rooted device, record audio and make and redirect phone calls, as well as collect data such as call logs, contacts, photos, device location and SMS messages.

“This discovery gives us an in-depth look into a spyware vendor’s activities and how sophisticated app-based spyware operates,” said Justin Albrecht, Threat Intelligence researcher at Lookout. “Based on how customizable Hermit is, including its anti-analysis capabilities and even the way it carefully handles data, it’s clear that this is well-developed tooling designed to provide surveillance capabilities to nation-state customers. What’s also interesting is that we were able to confirm Kazakhstan as a probable current customer of RCS Lab. It’s not often that you are able to identify a spyware vendor’s clientele.”

Lookout researchers theorize that the spyware is distributed via SMS messages pretending to come from a legitimate source. The malware samples analyzed impersonated the applications of telecommunications companies or smartphone manufacturers. Hermit tricks users by serving up the legitimate webpages of the brands it impersonates as it kickstarts malicious activities in the background.

To learn more about Hermit read the Lookout research blog or visit the Lookout Threat Lab.

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