- Global cybersecurity company Palo Alto Networks announced it entered into a definitive agreement to acquire CloudGenix for $420 million
Global cybersecurity company Palo Alto Networks announced it entered into a definitive agreement to acquire CloudGenix — which is an industry-leading cloud-delivered SD-WAN provider. As part of the agreement, Palo Alto Networks will pay approximately $420 million in cash for CloudGenix, subject to adjustments.
This acquisition is expected to close during Palo Alto Networks’ fiscal fourth-quarter subject to the satisfaction of regulatory and customary closing conditions.
While applications continue to move from corporate data centers to the cloud and SaaS and users require secure access to applications from anywhere in the world, organizations are struggling to manage access for the distributed workforce. And current remote access solutions for the branch and retail offices are complex, costly, and often insecure.
In order to support the modern workforce, organizations need access to all applications from all locations, delivered through a global network as a service for accelerated access and with integrated world-class security from the cloud. This is known as a “secure access service edge” (SASE).
Palo Alto Networks Prisma Access is known as the industry’s most comprehensive SASE platform, delivering a global cloud network with cloud-delivered security for all users. And with the proposed acquisition, Palo Alto Networks will integrate CloudGenix’s cloud-managed SD-WAN products to accelerate the intelligent onboarding of remote branches and retail stores into Prisma Access.
This combination is going to extend the depth of the Prisma Access SASE platform, address network and security transformation requirements, and accelerate the shift from SD-WAN to SASE.
CloudGenix has hit approximately 250 customers, many of which are in the Fortune 1000 and include companies in healthcare, retail, manufacturing, finance, banking, tech, and hospitality. And CloudGenix co-founders, Kumar Ramachandran, Mani Ramasamy, and Venkataraman Anand have agreed to join Palo Alto Networks.
“As the enterprise becomes more distributed, customers want agile solutions that just work, and that applies to both security and networking. Upon the close of the transaction, the combined platform will provide customers with a complete SASE offering that is best-in-class, easy to deploy, cloud-managed, and delivered as a service.”
– Nikesh Arora, chairman and CEO of Palo Alto Networks
“CloudGenix’s vision has been to revolutionize branch offices through cloud-delivered Autonomous WANs. With CloudGenix, enterprises gain cloud-scale economics for the branch office with the freedom to use any WAN, any cloud, and best-of-breed infrastructure services. We thank our customers for making us an industry leader in enterprise SD-WAN. By joining forces with Palo Alto Networks, we will accelerate our ability to serve customers and partners in their network and security transformation.”
– Kumar Ramachandran, co-founder and CEO at CloudGenix