I saw an interesting presentation a few months back that kinda mirrors this... it was about FinSpy, which is a mobile rootkit for many major mobile platforms (android, apple ios, etc.) that could do a lot.
SMS interception, record phone conversations, ... pretty much anything the phone can do, this could do. I can't really recall now if it had botnet capabilities, but I do believe it did (seems like it would, given everything else it can do).
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