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Palo Alto Networks Acquires Chronosphere for $3.35 Billion: Heavy Bet on AI
Palo Alto Networks has closed a deal to acquire Chronosphere, a next-generation observability platform, for US$ 3.35 billion. It's a clear strategic move: to prepare the security infrastructure for the era of AI at scale.
The numbers that matter
Why it makes sense
CEO Nikesh Arora was direct: modern data centers running AI need 24/7 uptime and real-time observability. Chronosphere was born to scale with the data demands of the AI era, precisely what traditional players lack.
The trump card here is to integrate the platform with Palo Alto's AgentiX — transforming passive monitoring into real-time autonomous remediation. In summary: it's no longer just about seeing the problem on the dashboard, it's the system correcting itself.
What changes in the market
This acquisition signals that security giants are now competing not only in protection but also in operational intelligence. Chronosphere, born in the cloud and chosen by AI startups, brings native credibility that Palo Alto lacked in this segment.
TL;DR: Palo Alto bets US$ 3.35 billion to become a mainstream player in AI observability. Chronosphere is already growing by 3 digits and will now have enterprise scale in its backpack.