This Cato Networks company profile covers the company's valuation, revenue, funding rounds, investors and history. Cato Networks works in cybersecurity, with a focus on SASE (networking and security in the cloud). It was founded in 2015 and is headquartered in Tel Aviv, Israel. Its latest valuation on record is US$4.8 billion (June 2025). Every figure links to a public source, and anything the company hasn't disclosed is marked as such.
Revenue
US$415 million ARR, up 42% year over year — Annual recurring revenue (company-reported), as of July 2026. Source: Calcalist.
| Metric | Value | As of | Source |
|---|---|---|---|
| Employees | About 1,800, roughly half in Israel | July 2026 | Calcalist |
| Acquisition | Aim Security (AI security) for about US$350 million | September 2025 | Calcalist |
| Total funding | About US$1.1 billion | July 2026 | Calcalist |
Funding history
| Date | Round | Amount | Valuation | Investors | Source |
|---|---|---|---|---|---|
| Jun 2025 | Series G | US$359M | US$4.8B | See source | Calcalist |
| Sep 2023 | Equity round | See source | US$3B | See source | Calcalist |
Cato Networks timeline
Key dates from the sources on this page, oldest first. Metric snapshots are listed after the funding events.
- 2015 — Cato Networks is founded in Tel Aviv by Shlomo Kramer (CEO) and Gur Shatz.
- Sep 2023 — Equity round: See source, valuing the company at US$3B.
- Jun 2025 — Series G: US$359M, valuing the company at US$4.8B.
- July 2026 — Employees: About 1,800, roughly half in Israel.
- September 2025 — Acquisition: Aim Security (AI security) for about US$350 million.
- July 2026 — Total funding: About US$1.1 billion.
Investors
Not disclosed.
Overview
Cato Networks sells a cloud-based platform that combines corporate networking and security. Instead of companies buying separate hardware and software for their network connections, firewalls, secure web access and remote access, Cato delivers all of these as one service from its own global network of data centres. Offices, remote workers, cloud applications and factories connect to the nearest Cato location, and traffic is secured and routed through its network. This category is known as SASE (secure access service edge), a term coined by the research firm Gartner, and Cato was one of its pioneers.
Shlomo Kramer, the CEO, founded Cato in 2015 with Gur Shatz. Kramer is one of Israel's best-known cybersecurity entrepreneurs: he co-founded Check Point Software, one of the first firewall companies, and later Imperva. Shatz, who co-founded Incapsula, later left Cato. The company is headquartered in Tel Aviv and employs about 1,800 people, roughly half in Israel.
The problem SASE solves
Traditional corporate networks were built around a central office and data centre. Branch offices connected through expensive private lines, and security appliances sat at the network's edge. That model fits badly with today's world of cloud applications and remote work, where employees connect from anywhere to software hosted by other companies. Companies ended up managing many different products from different vendors, each with its own console and policies. SASE replaces that patchwork with a single cloud service that applies the same security policies wherever users and applications are.
How Cato makes money
Cato sells subscriptions, typically multi-year contracts priced by bandwidth, sites and users, and the security features included. Large enterprises sign multi-million-dollar deals, often through partners such as telecom operators, managed service providers and resellers. Subscription revenue makes its income predictable, and customers tend to add sites, users and features over time.
Revenue growth
Cato has disclosed recurring revenue milestones. It reported an annual revenue run rate of US$250 million in early 2025, up 46%. In July 2026 it said ARR had reached US$415 million, up 42% year over year, with growth accelerating in the second quarter thanks to several large enterprise contracts. Cato hasn't disclosed whether it is profitable, and earlier reporting indicated it was not.
Funding history
Cato has raised about US$1.1 billion in total. In September 2023 it was valued at US$3 billion. In June 2025 it raised a US$359 million Series G at a US$4.8 billion valuation, the largest ever for a private SASE company; roughly a third of the money went to employees selling shares in a secondary sale. Later in 2025 the round was extended with additional investment. The company has not filed for an IPO.
AI security and the Aim acquisition
In September 2025 Cato acquired Aim Security, an Israeli startup focused on securing companies' use of AI tools, for about US$350 million. As employees use AI assistants and companies build AI agents, new risks emerge, such as sensitive data being pasted into AI tools or agents being manipulated. Cato launched its AI security offering in March 2026, integrating these capabilities into its platform.
Competitive landscape
Cato competes with large security vendors that have built or acquired SASE offerings, including Palo Alto Networks, Zscaler, Fortinet, Netskope, Cisco and Check Point. Many of these are public companies with large sales forces. Cato's advantages are that its platform was built as a single service from the start rather than assembled through acquisitions, its own global network, and strong channel partnerships. In 2026 there was market speculation about a possible acquisition by CrowdStrike, which Kramer strongly denied.
The IPO question
Cato has long been seen as an IPO candidate, and its chief strategy officer said in 2026 that the company had not stopped planning one. Without a prospectus, there's no timetable. A listing would invite comparison with public peers such as Zscaler, and Netskope, which listed in 2025.
What to watch next
Watch ARR milestones, large enterprise wins, adoption of AI security, profitability disclosures, any IPO filing, and consolidation in the security industry.
Key facts at a glance
Cato Networks is a Tel Aviv cybersecurity company founded in 2015 by Shlomo Kramer and Gur Shatz. It reported US$415 million in ARR in July 2026, up 42%, and employs about 1,800 people. It raised a US$359 million Series G at a US$4.8 billion valuation in June 2025 and acquired Aim Security for about US$350 million.
Israel's cybersecurity ecosystem
Israel has produced an outsized share of the world's cybersecurity companies, from Check Point to Wiz, CyberArk and many others. Military technology units train engineers in security work, experienced founders start new companies and invest in others, and global investors have deep relationships in the market. Cato's founding by a veteran of Check Point and Imperva is typical of how expertise passes from one generation of companies to the next.
Questions to ask when evaluating SASE vendors
- Was the platform built as one system, or assembled from acquisitions with separate consoles?
- Where are the vendor's network locations, and how does performance compare in your regions?
- Which security functions are included, and which cost extra?
- How does pricing scale with sites, users and bandwidth?
Comparing growth and profitability together, for example with the Rule of 40, helps when judging subscription companies like Cato.
Selling through partners
A large share of Cato's sales goes through partners: telecom operators, managed service providers and resellers who bundle Cato's service with their own offerings and manage it for customers. Channel sales let a growing company reach many more customers than its own sales team could, especially mid-sized businesses that prefer to buy networking and security as a managed service. The trade-off is that partners take a share of revenue and own part of the customer relationship.
What this means if you're…
An IT or security leader: run proofs of concept with real traffic and compare total cost against your current mix of products.
A cybersecurity founder: Cato shows the value of building a platform from scratch to address a market shift.
An investor: compare its valuation with ARR growth and watch for profitability data ahead of any IPO.
Latest developments (October 2026)
Cato Networks said in July 2026 that its annual recurring revenue passed US$415 million, up 42% from a year earlier, after reaching US$350 million in February, according to Globes. The company has not filed for an IPO, though executives say listing plans remain. Chief executive Shlomo Kramer denied reports of a possible sale to CrowdStrike. Its June 2025 Series G at more than US$4.8 billion remains the latest valuation.
Sources
Every figure on this page comes from the public sources below. Where sources disagreed, we used the company's own announcement or a primary news report. Private-company data changes; check the date beside each figure.
Frequently asked questions
What does Cato Networks do?
Cato Networks is a cybersecurity / sase (networking and security in the cloud) company headquartered in Tel Aviv, Israel. It was founded in 2015.
What is Cato Networks's valuation?
Cato Networks was valued at US$4.8 billion as of June 2025, according to Calcalist. Private company valuations are set at funding rounds or share sales and can change significantly between them.
How much revenue does Cato Networks make?
Cato Networks reported US$415 million ARR, up 42% year over year (annual recurring revenue (company-reported)) as of July 2026, according to Calcalist.
What was Cato Networks's latest funding round?
The most recent financing we have verified is a series g in Jun 2025: US$359M, at a valuation of US$4.8B. Source: Calcalist.
Who founded Cato Networks?
Cato Networks was founded in 2015 by Shlomo Kramer (CEO) and Gur Shatz.
Is Cato Networks a public company?
No. Cato Networks is a private company (private, venture backed), so its shares are not traded on a stock exchange and it isn't required to publish its financial results.
Where is Cato Networks headquartered?
Cato Networks is headquartered in Tel Aviv, Israel.