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Israel cybersecurity

CyberArk’s platform verifies the identity of anyone—or anything—attempting to use privileged credentials.

By Shula Rosen

In one of the most significant deals in cybersecurity history, U.S. giant Palo Alto Networks is acquiring Israeli cybersecurity firm CyberArk for $25 billion in cash and stock.

The Petah Tikva-based company, known for its expertise in privileged access management, plays a critical role in what analysts now call the most urgent frontier of cyber defense: identity security.

As AI agents and automated systems take on increasingly sensitive tasks, control over digital “master keys”—the highest-level credentials in any network—has become essential.

CyberArk specializes in securing these access points, which, if compromised, could allow hackers to steal data, disrupt infrastructure, or deploy malicious software across entire systems.

“The rise of AI and the explosion of machine identities have made it clear that the future of security must be built on the vision that every identity requires the right level of privilege controls,” said Palo Alto CEO Nikesh Arora.

CyberArk’s platform verifies the identity of anyone—or anything—attempting to use privileged credentials.

It enforces access restrictions, logs every action in tamper-proof records, and automatically revokes or rotates credentials. It also protects the “secret handshakes” between machines—API keys, scripts, and digital certificates used by automated systems—keeping them secure in an encrypted vault.

Palo Alto’s acquisition, expected to close in fiscal 2026, signals a strategic shift toward integrated identity management in the face of AI-era threats.

CyberArk currently serves more than 10,000 organizations globally, including financial firms, governments, and healthcare providers, while Palo Alto supports over 70,000 in 150 countries.

The deal not only elevates Palo Alto’s security portfolio—it also reinforces Israel’s reputation as a global cybersecurity powerhouse.

Coming on the heels of Alphabet’s $32 billion purchase of Israeli startup Wiz, the acquisition highlights Israel’s outsized role in developing the technologies that will secure the digital age.

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