A secure access service edge (SASE) solutions provider, Cato Networks, announced a massive new $359 million Series G funding round. This major deal values the Tel Aviv, Israel-based company at more than $4.8 billion, a significant milestone. Founded in 2015, the SASE leader has now raised more than one billion dollars in total funding. The company currently claims to have more than 3,500 enterprise customers using its single, cloud-native SASE platform. This oversubscribed funding round was led by new investors including Vitruvian Partners and also ION Crossover Partners.
Cato’s SASE platform provides a wide range of secure web gateway and cloud access security broker capabilities. It also includes data loss prevention, zero trust network access, and firewall-as-a-service functionalities among other services. This funding builds on Cato’s proven track record of leadership since its creation of SASE back in 2015. The global analyst community recognized Cato’s vision when the term “SASE” was first formally defined in 2019. The global SASE market is projected by Gartner to grow at a compound annual growth rate of twenty-six percent.
Cato says the additional funds will be used to expand the platform’s advanced artificial intelligence security capabilities.
The company will also accelerate its platform innovation across multiple different security domains and increase its research investment. This new investment in research and development will expand capabilities across DEM, LAN Security, and IoT/OT Security. Cato also plans to use the new capital to significantly expand its overall global reach and market presence.
The company will grow its extensive partner ecosystem and its customer-facing teams to meet the surging global demand.
Cato’s specific approach to artificial intelligence goes far beyond simple workflow automation for information technology teams. The company is embedding artificial intelligence directly into the DNA of the security and networking infrastructure itself. With Cato’s platform, artificial intelligence handles the noise so that customers can focus on business strategy and growth. The company’s business momentum is driven by a growing mandate across IT and security leadership to simplify infrastructure. Cato recently reported forty-six percent year-over-year growth in its annual recurring revenue, significantly outpacing the SASE market.
Reference:
