Palo Alto Networks announced that it will acquire Portkey, a leading AI gateway provider, in a transaction valued at $120‑140 million. The deal, announced on April 30 2026, is expected to close in the fourth quarter of Palo Alto’s fiscal 2026, subject to customary closing conditions.
Portkey’s technology delivers a centralized control plane that routes, monitors, and secures autonomous AI agents. By integrating Portkey’s low‑latency, token‑processing engine into its Prisma AIRS platform, Palo Alto Networks will offer a unified security layer for AI workloads, enabling enterprises to govern every AI transaction across the organization.
Portkey has processed trillions of tokens per month with minimal latency and provides semantic routing, automated failovers, and access to over 3,000 large‑language models through a single interface. The company raised $15 million in a Series A round led by Elevation Capital and Lightspeed and $3 million in a seed round led by Lightspeed in August 2023.
Management highlighted the strategic fit: "As autonomous agents join the enterprise workforce, they also become a new, unmanaged attack surface. By integrating Portkey into Prisma AIRS, organizations will be able to confidently deploy and govern AI agents," said Lee Klarich, Chief Product & Technology Officer. "Scaling AI in production requires a delicate balance between total flexibility for developers and absolute control for security teams. By joining Palo Alto Networks, we will establish the AI Gateway as the foundational layer of the secure AI enterprise. Together, we will provide the infrastructure that allows every organisation to deploy autonomous agents with the confidence that their data and operations are fully protected," added Portkey CEO Rohit Agarwal. "AI agents have become privileged insiders, reasoning and executing on behalf of users and companies. With that power comes a new category of risk," noted Palo Alto Networks Chairman and CEO Nikesh Arora, adding that the expanding attack surface demands a proactive security posture.
The acquisition strengthens Palo Alto Networks’ AI security portfolio, positioning it against competitors such as CrowdStrike and Zscaler. By adding a dedicated AI gateway to its Prisma AIRS platform, the company reinforces its platformization strategy and expands its addressable market in the rapidly growing AI security space.
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