Pentagon raises Israel espionage threat level to highest tier

The U.S. Department of Defense (the Pentagon) has reportedly raised its assessment of espionage threat from Israel to "critical", the highest level on its internal evaluation system, according to reports from NBC News and The New York Times citing unnamed U.S. intelligence and defense officials.

The escalation in alert level comes as Washington pursues diplomatic outreach with Iran while ally Israel opposes talks aimed at ending the 100-day-long conflict. The reports also highlight incidents where U.S. defense personnel working in Israel discovered spyware installed on their phones.

Warning from DIA

According to sources, the U.S. Defense Intelligence Agency (DIA) has raised the counter-espionage threat level for Israel from "high" to "critical." The warning is based on increased efforts by Israeli intelligence agencies to gather information on U.S. military personnel, government officials, and policy discussions, with a particular focus on those involved in shaping the U.S. approach toward Iran.

Intelligence reports indicate a surge in surveillance activities by Israel in recent weeks targeting U.S. officials, including envoy and lead negotiator Steve Witkoff; the Pentagon's top policy official, Elbridge A. Colby; and one of his deputies, Michael P. DiMino IV. Witkoff served as the chief negotiator in nuclear talks before Israel and the U.S. struck Iran on February 28.

Background of tensions

U.S. President Donald Trump and Israeli Prime Minister Benjamin Netanyahu have publicly disagreed on how to handle the war. Washington seeks to withdraw under political pressure, while Israel presses for toppling the Iranian government. Tensions between the two leaders intensified in the past week, with reports saying Trump called Netanyahu "crazy" for Israel's military escalation in Lebanon, where at least 3,500 people have died.

U.S. officials believe Israel's recent espionage activity has exceeded what Washington typically considers acceptable between allies. While intelligence collection among friendly nations is routine, some officials argue Israel seeks to gain a clearer understanding of U.S. policy discussions and negotiating positions with Iran.

Responses from Israel and the U.S.

Israel has denied the allegations. The Israeli embassy in Washington stated that claims of Israel spying on U.S. government officials are "completely false." A White House official also dismissed the NBC report, saying "the entire story is untrue."

Precedent of Israeli espionage in the U.S.

Israel has a precedent for espionage aimed at the U.S. The most famous case is that of Jonathan Pollard, a civilian intelligence analyst for the U.S. Navy who was arrested in 1985 for passing large volumes of classified information to Israel and served 30 years in prison.

According to Professor Andreas Krieg from King's College London, "Israel has a particularly long history of intelligence activities inside the United States. They have tried to infiltrate U.S. policy circles through both formal and informal networks."

Reasons for increased activity

Analysts say Israel is "deeply concerned" about the trajectory of U.S. negotiations with Iran. Professor Krieg believes Israel's primary concern is that Washington might reach a deal establishing a long-term diplomatic framework, thus limiting Israel's future military options against Iran. Consequently, Israeli policymakers have a strong incentive to stay ahead of U.S. discussions and understand the talks in real time.

Analyst Negar Mortazavi noted: "Prime Minister Netanyahu does not want any serious deal or negotiations between Tehran and Washington, and he has tried to stop that by all means." She also argued that the war with Iran "is not going as planned" and Trump "wants to get out of the war through diplomacy."