I'm going to invoke Betteridge's law of headlines here.
"One theory that’s been gaining traction as of late, on how the NSA got around those pesky little things called laws, is that they outsourced the project to Israel."
So basically a random conspiracy theory clickbait. Also the reference to 8200 here really shows the author has no fogey idea.
In short, Israeli intelligence out of necessity doesn't focus on PRISM like data-mining approaches.
Carry on citizen. You have nothing to worry about. Yes, the government is collecting all the possible data they can on you, but it's okay. You can trust them to never use it against you if you ever speak against or embarrass the government, or any other future governments.
Narus is an Israeli company ? Headquarters in California but also offices in India. Half of the management is Indian the other half American. I would say if an NSA really outsources to Narus it would be to India not Israel.
Hate to repeat myself here, but they forgot to mention AMDOCS, another Israeli firm who run 'outsourced billing' for loads of major telecommunications companies globally. What do you need for billing? Metadata on everything.
Back in the day, many European countries had registers of known communist and socialist sympathizers. They where used to keep communists out of government and union jobs. Those in the registers had a harder time getting promoted, was fired for spurious reasons and so on. The other effect it had is that people became frightened to voice their support of communists lest they also be placed in the register and having their careers ruined.
It is not far-fetched to think that broad intelligence gathering will be used in the exact same way today. Communism may not be the big boogieman it once way, but there are still ideologies and causes that can get you branded as undesirable. For example, by being drug liberal.
I think it's naive to think that the information they are collecting will go unused. There aren't enough terrorist threats in there to act upon, so they will focus on the secondary threats which is people with the wrong opinions.
They could be watching us read this right now!
Israel is the best!
The Mormons don't go on missions to Arab countries, so the Utah spy site is of limited use. But many Israelis on the other hand do speak Arabic; its a secondary language there; so they are naturally a place to outsource electronic surveillance of Arab speaking countries.
When they say "Israel", they actually mean "Jews". Exploit the prejudice without appearing antisemitic.
It is outsourcing domestic spying to an Israeli company (yes, a private enterprise) that produces "lawful interception" software (which it undoubtfuly sells to other customers too). Saying "Israel" is helping NSA spy on its citizens is akin to saying "the United States" gets people hooked on Farmville.