Palo Alto Networks announced a definitive agreement to acquire Koi, a startup that specializes in agentic endpoint security, for an estimated $400 million. The deal was disclosed on February 17, 2026 and is expected to close in the second half of 2026.
The acquisition closes a gap in Palo Alto’s platform by adding capabilities to secure AI agents and tools that operate with deep access to enterprise data. It extends the company’s Prisma AIRS and Cortex XDR product lines, giving customers visibility and control over AI‑driven endpoints. Lee Klarich, Chief Product & Technology Officer, said, "AI agents and tools are the ultimate insiders. They have full access to your systems and data, but operate entirely outside the view of traditional security controls. By acquiring Koi, we will be closing this gap and setting a new standard for endpoint security. We will give our customers the visibility and control required to safely harness the power of AI—ensuring that every agent, plugin, and script is governed, verified, and secure."
Koi was founded in 2024 by alumni of Israel’s IDF 8200 Intelligence Corps technology unit and has raised multiple funding rounds. The company has positioned itself as a pioneer in agentic endpoint security, and the acquisition will allow Palo Alto to scale Koi’s technology to the world’s largest organizations. Amit Assaraf, CEO and co‑founder of Koi, noted, "We founded Koi to secure the next frontier of risk. In an agentic‑first world, traditional solutions are blind. Joining forces with Palo Alto Networks will allow us to scale our technology to the world's largest organizations, delivering protection that makes work on the modern AI‑native endpoint secure by design."
The deal is part of Palo Alto’s broader AI security strategy and its recent acquisition spree, which includes CyberArk ($25 billion), Chronosphere ($3.35 billion), and Protect AI ($500 million). The move signals the company’s commitment to platformization and to addressing the emerging risks posed by AI agents, reinforcing its position as a leader in integrated security solutions.
Nikesh Arora, Chairman and CEO of Palo Alto Networks, highlighted the company’s platformization wins, saying, "Our strong start to the fiscal year was marked by excellent results across all metrics, and significant platformization wins." He also reflected on the company’s Q4 2025 performance, noting, "Our strong execution in Q4 2025 reflects a fundamental market shift in which customers understand that a fragmented defense is no defense at all against modern threats. They are partnering with us because our platforms are designed to work in concert, creating powerful operational synergies that deliver superior, near real‑time outcomes and the efficiency our customers need."
The announcement did not specify an exact closing date, but the transaction is expected to close in the second half of 2026. Integration plans will align with the next release cycle of Prisma AIRS and Cortex XDR, ensuring a smooth transition of Koi’s technology into Palo Alto’s platform.
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