NYPD walks back contract negotiations with AI-driven cellphone surveillance company amid backlash

The New York Police Department has halted plans for a $750,000 no-bid contract for mobile phone surveillance technology and will instead reopen the bidding process. The force had been in talks since December 2025 to buy FalcoNet, an artificial intelligence system made by Israeli firm Cognyte. The technology acts like a mobile phone mast to force nearby devices to connect to it, allowing officers to track suspects' phones. The move follows criticism from advocacy groups, who argue the system unconstitutionally tracks innocent bystanders as well as suspects. Human rights organisations have also raised concerns over Cognyte's work with foreign governments to monitor political opponents. The NYPD said the deal did not meet the standards for a single-source contract, adding that Cognyte would still be allowed to enter the open competition.