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Palo Alto Networks to acquire CloudGenix for $420 million

CloudGenix competes with Cisco and other incumbents in the SD-WAN space.
Written by Natalie Gagliordi, Contributor

Palo Alto Networks said on Tuesday that it plans to acquire software-defined wide-area networking (SD-WAN) provider CloudGenix for $420 million. CloudGenix competes with Cisco and other incumbents in the SD-WAN space, targeting large enterprises that need to manage network traffic at branch offices.

With the acquisition, Palo Alto Networks said it plans to integrate CloudGenix's cloud-managed SD-WAN products into Prisma Access, its secure access service edge (SASE) platform. Ultimately, the goal is to shift the industry from SD-WAN to SASE, the company said.

"As the enterprise becomes more distributed, customers want agile solutions that just work, and that applies to both security and networking," said Palo Alto Networks CEO Nikesh Arora. "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."

Palo Alto's Prisma portfolio has been a major focus for the company since its launch a year ago. With Prisma Access, organizations can secure access to the cloud for branch offices and mobile users anywhere in the world with a scalable, cloud-native architecture. It runs on Google Cloud Platform and features a streamlined cloud management UI for rapid onboarding of branches and users. It also features capabilities specifically designed for service providers to enable the rapid provisioning of secure outbound internet connectivity for their customers.

Last week the company announced new features for Prisma Cloud focused on giving DevOps and SecOps teams more visibility and improved security across the technology stack. 


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