Palo Alto to Acquire Demisto Inc. for $560 Million

Global cybersecurity leader Palo Alto has announced that it plans to acquire security startup Demisto Inc. for $560 million.

Demisto Inc. is a a digital security startup that was founded by four former McAfee executives. The purchase agreement is more than twice where the company had been valued this past fall.

We are delighted to welcome Demisto into the Palo Alto Networks family. Coupled with our Application Framework, Demisto will help us strengthen our commitment to security teams by delivering a platform that provides higher levels of integration, automation, and innovation to prevent successful cyberattacks,” said Nikesh Arora, chairman and CEO of Palo Alto Networks.

“We have dedicated ourselves to the challenge of automation because we believe that relying on people alone to combat threats will fail against the scale of today’s attacks. Palo Alto Networks strategy resonates with our own vision. And we have found a like-minded team that shares our conviction that the future of security is all about automation and AI. We’re thrilled to be joining them to help make it a reality,” remarked Slavik Markovich, CEO of Demisto.

“The addition of Demisto’s orchestration and automation technologies will accelerate Palo Alto Networks Application Framework strategy and serve as a critical step forward in the company’s aim to deliver immediate threat prevention and response for security teams,” the company stated.

According to Palo Alto’s press release, Demisto founders, Slavik Markovich, Rishi Bhargava, Dan Sarel and Guy Rinat, will join Palo Alto Networks.

Disclaimer: We have no position in Palo Alto Networks Inc. (NYSE: PANW) and have not been compensated for this article.