Except not in NATO, Five Eyes, or even a party to the Treaty on the Non-Proliferation of Nuclear Weapons. In real terms, they're definitely among the more problematic allies. Compared with Germany, UK, France, Australia, Canada, etc.
Nothing they said was a lie though. Yes, everyone spies on each other, but what matters is the level of aggression. Israel ranks up there with China and Russia, and that's an issue.
And it's absolutely true that they did not sign the nuclear non proliferation treaty, and then went on to do nuclear tests off the coast of South Africa in the 1979 Vela incident. And that provided a huge motivation for Israel's enemies (which are absolutely anti-US) to seek nuclear weapons, which caused huge regional instability since then and threatened US national security.
Yes, you can talk about how it's hypocritical that the US gets to do these things and nobody else does. And in a sense it is, but the fact is that at the moment, the US effectively rules the world for better or worse. And it is a fact that Israel's behavior is causing instability that threatens themselves and the US.
This is a blatant lie. For example, as part of operation Rubikon Germany and the US spied on Spain, a NATO ally, among other targets. It's commonplace to spy on each other.