Cato Networks provides a unified cloud SASE platform that combines networking and security services for enterprises. The company said it has surpassed $300 million in annual recurring revenue and was valued at more than $4.8 billion after its June financing. Cato announced its first acquisition, Aim Security, and plans to integrate Aim’s AI security capabilities into its platform to accelerate AI-driven security features. Management framed AI transformation as the next major enterprise shift and is positioning the product roadmap around advanced AI security. Cato was founded in 2015 by Shlomo Kramer and Gur Shatz and is described in the article as an Israeli firm. The company emphasized that the recent financing maintained the same terms and valuation as the June round. Cato Networks delivers enterprise-grade security and networking as a single, cloud-native SASE platform that replaces legacy firewalls, routers, and point solutions with an embedded security stack and purpose-built global cloud network. The platform converges SD-WAN, LAN security, SSE, XDR, ZTNA, and other capabilities to provide scalable, self-maintaining connectivity and threat prevention. Cato emphasizes AI-driven automation and decisioning, embedding AI into infrastructure to accelerate response workflows and reduce routine operational burden. The company says it serves more than 3,500 enterprise customers and reported 46% year-over-year growth in ARR for 2024. With the new funding, Cato plans to advance AI security, accelerate R&D across DEM, IoT/OT, and other use cases, and expand its global partner and customer-facing teams. The business positions itself as a category leader focused on simplifying infrastructure and increasing operational efficiency for IT and security teams. Cato Networks packages software-defined networking, managed cybersecurity and a global backbone into a single cloud-based mesh that functions as an SD-WAN and SASE. It operates global points of presence that deliver networking and security services and maintains a metadata database of network flows enriched with security information for in-house training and AI models. The company uses purpose-built AI to process more than 250 threat intelligence feeds, publish updated blacklists every four hours, and applies deep learning in its intrusion prevention system. Cato has roughly 670,000 remote users across over 1,900 business customers and crossed $100 million in annual recurring revenue last year. With the new funds it plans to expand product offerings and global reach, grow its partner ecosystem, and increase engineering and product headcount from 800 to over 900 by year-end. Founded in 2015 and headquartered in Tel Aviv, Cato is valued at over $3 billion. Cato Networks offers a cloud-native SASE platform—Cato SASE Cloud—built on proprietary Cato SPACE technology to connect and secure sites, mobile users, and cloud resources. Its Cato Cloud enables customers to migrate from MPLS to SD-WAN, optimize connectivity to on-premises and cloud applications, enable secure branch Internet access, and connect mobile users via a client or clientless options. The platform is distributed across more than 65 points of presence worldwide. Led by CEO and co-founder Shlomo Kramer, the company focuses on converging SD-WAN, network security, and ZTNA into a single global service. Cato intends to use the new funds to accelerate sales, technology, and business growth to further support the security and global networking needs of large enterprises. The article reports a $2.5 billion valuation following the raise. Cato Networks offers a cloud-native converged SASE platform called Cato Cloud that connects and secures enterprise edges — sites, mobile users, and cloud resources — in a single global service. The platform converges networking and security capabilities to reduce IT complexity, improve security effectiveness, increase agility, and lower operational costs. Cato says the Cato Cloud was built from the ground up as a converged and cloud-based global SASE service. The company will use the new funding to accelerate its SASE market and technology expansion strategy. This funding strengthens Cato’s financial position and reflects investor confidence in its market leadership, following a prior valuation of $1 billion.

Total raised

$1.2B

Funding rounds

9

Latest round

Equity

Latest activity

Sep 2025