New York walked back a no-bid police surveillance contract with an Israeli tech firm after public pressure, a win for privacy advocates and a black eye for backroom deals between city agencies and foreign defense contractors.

• The NYPD was about to hand an Israeli company, Cognyte, a multi-year contract — no competing bids — for "Falconyte," a mobile device that mimics a cell tower to vacuum up phone data from everyone nearby, not just suspects.
• Civil liberties groups warned the tech sidesteps warrant rules and adds AI-driven behavior tracking, and pointed out the NYPD has a history of using similar spy tools without warrants or public policies.
• Public backlash, media coverage, and pressure from local activists pushed the city to cancel the no-bid deal and promise an open competitive process instead.
• The reversal comes as US intelligence officials have reportedly raised concerns about Israeli spying efforts inside the United States more broadly.

Outlook: The surveillance contract will now go through open bidding, but similar fights over AI-driven policing tools (like license-plate camera networks) are likely to keep surfacing in New York and other cities.