Canadian cybersecurity company Magnet Forensics Inc. has filed a lawsuit against a former contractor, accusing him of unlawfully sharing confidential trade secrets related to a previously undisclosed iPhone security vulnerability with a competing cybersecurity firm.
The lawsuit, filed in the US District Court for the Northern District of Georgia on July 7, names former contractor Mario Del Gaudio and Spanish cybersecurity company Paradigm Shift Technology S.L. as defendants. Magnet alleges that confidential research involving an iPhone “zero-day” vulnerability was improperly disclosed through a blog post published by Paradigm Shift.
Neither Del Gaudio, his legal representative, nor Paradigm Shift Technology had responded to requests for comment at the time of publication.
Lawsuit Centers on iPhone Zero-Day Exploit
According to the complaint, the dispute involves a previously unknown vulnerability affecting Apple’s A12 and A13 processors, which power several iPhone models.
Magnet Forensics claims it had developed an exploit for the flaw that enabled government agencies and law enforcement customers to access data stored on otherwise inaccessible iPhones. Because the vulnerability had not been publicly disclosed, it qualified as a zero-day exploit—a highly valuable cybersecurity asset that can be used before software vendors become aware of the flaw and release a security patch.
The company alleges that the exploit was one of its proprietary trade secrets and formed an important part of its digital forensic offerings.
Public Disclosure Allegedly Reduced the Exploit’s Value
Magnet argues that publishing technical details about the vulnerability alerted Apple to the flaw, increasing the likelihood that it would be patched and rendering the exploit significantly less valuable for its customers.
In court filings, the company described the disclosure as causing “irreparable harm and continuing damage” to its business.
Apple has not publicly commented on the allegations and did not immediately respond to requests for comment.
Former Contractor Accused of Breaching Confidentiality Agreement
The lawsuit states that Del Gaudio worked as an iOS exploit engineer for Magnet Forensics and spent several months developing the same vulnerability during his engagement with the company.
Magnet alleges that Del Gaudio later participated in research published by Paradigm Shift Technology in June, which detailed the same A12 and A13 iPhone vulnerability.
According to the lawsuit, this violated confidentiality and contractual obligations Del Gaudio had agreed to while working with Magnet.
The company also claims it issued multiple cease-and-desist notices seeking the removal of the published research. However, the technical report remains publicly available.
Magnet Forensics’ Business Relies on Advanced Digital Investigation Tools
Magnet Forensics develops digital investigation software used by law enforcement agencies and government organisations to recover and analyse evidence from electronic devices.
The company says its technology is used by more than 6,000 public- and private-sector customers across 100 countries.
In 2023, private equity firm Thoma Bravo acquired Magnet Forensics in a deal valued at approximately $1.3 billion.
Growing Scrutiny Over Theft of Offensive Cyber Tools
The case comes amid increasing concerns over the theft and misuse of offensive cybersecurity tools.
The lawsuit follows another high-profile incident in 2025, when a former government contractor working for military contractor L3Harris Technologies Inc. pleaded guilty to stealing offensive hacking tools and selling them to a Russian broker. The individual was later sentenced to more than seven years in prison.
The latest legal dispute highlights the immense commercial value of zero-day vulnerabilities and the growing legal battles surrounding intellectual property in the cybersecurity industry.