Palo Alto Networks and Google Cloud Forge Landmark Agreement to Help Customers Securely Accelerate Cloud and AI Initiatives

Rhea-AI Summary

Palo Alto Networks (NASDAQ: PANW) and Google Cloud expanded a strategic partnership on Dec 19, 2025 to secure AI and cloud adoption across development, deployment and runtime.

The deal builds Prisma AIRS integrations for Vertex AI and Agent Engine, extends VM-Series firewall and Prisma SASE integrations, and deepens engineering alignment with more than 75 joint integrations.

The companies cited $2 billion in prior Google Cloud Marketplace sales and announced a new multibillion-dollar agreement for Palo Alto to migrate key workloads to Google Cloud and use Vertex AI and Gemini LLMs for its copilots.

Positive

• $2 billion in sales through Google Cloud Marketplace
• More than 75 joint integrations between the companies
• New multibillion-dollar agreement to migrate key workloads
• Prisma AIRS protecting Vertex AI and Agent Engine

Negative

• 99% of respondents reported at least one AI infrastructure attack
• Increased dependency on Google Cloud Vertex AI and Gemini LLMs

Key Figures

AI attacks prevalence 99% of respondents State of Cloud Report; at least one attack on AI infrastructure over last year

Joint integrations more than 75 integrations History of Palo Alto Networks–Google Cloud partnership

Marketplace sales $2 billion Sales via Google Cloud Marketplace to date

Annual meeting date December 9, 2025 Reference point for recent equity and partnership activity

Market Reality Check

$185.88 Last Close

Volume Volume 7,056,924 is slightly above the 20-day average of 6,639,423, signaling modest pre-news interest. normal

Technical Shares at 185.88 were trading below the 200-day MA of 192.15, and about 16.87% under the 52-week high.

Market Pulse Summary

This announcement highlights a deeper AI-centric partnership between Palo Alto Networks and Google Cloud, extending more than 75 existing integrations and roughly $2 billion in marketplace sales. It positions Prisma AIRS across Google Cloud services to address the 99% of surveyed organizations that reported AI infrastructure attacks. In context of recent filings showing continued equity incentives and large pending acquisitions, investors may watch how quickly this collaboration translates into secured workloads and measurable revenue contribution.

Key Terms

agentic ai technical

"As enterprises race to harness the transformative power of agentic AI and cloud"

Agentic AI refers to computer systems that can make their own decisions and take actions without needing someone to tell them what to do each time. It's like giving a robot a degree of independence to solve problems or achieve goals on its own, which matters because it could change how we work and interact with technology in everyday life.

hybrid multicloud technical

"every layer of hybrid multicloud infrastructure, every application development stage"

A hybrid multicloud is an IT approach that combines an organization’s private on‑site computing resources with services from two or more public cloud providers, letting data and applications move between them as needed. For investors, it matters because this setup can improve flexibility, resilience and cost control—like storing goods in a mix of your own warehouse and several rented facilities—while also creating vendor, security and execution risks that can affect a company’s profitability and growth prospects.

sase technical

"AI-driven secure access service edge (SASE) platform: Palo Alto Networks Prisma SASE"

SASE, or Secure Access Service Edge, is a modern technology that combines network security and access management into a single, cloud-based service. It ensures that users can safely connect to company resources from anywhere, much like having a secure, virtual gatekeeper that protects digital information. For investors, SASE matters because it reflects how organizations are adopting advanced security measures to support flexible, remote work environments and protect valuable data.

AI-generated analysis. Not financial advice.

SANTA CLARA and SUNNYVALE, Calif., Dec. 19, 2025 /PRNewswire/ -- As enterprises race to harness the transformative power of agentic AI and cloud computing, Palo Alto Networks (NASDAQ: PANW) and Google Cloud today announced a significant expansion of their strategic partnership to enable the secure development and deployment of AI solutions and provide a trusted foundation that helps organizations harness the full potential of AI with confidence. The collaboration combines Google Cloud's leading AI and infrastructure capabilities with Prisma^® AIRS^™, Palo Alto Networks comprehensive AI security platform, to secure the next generation of digital business.

Palo Alto Networks recent State of Cloud Report, released in December 2025, found that customers are dramatically expanding their use of cloud infrastructure to support new AI applications and services, while also noting that 99% of respondents experienced at least one attack on their AI infrastructure over the last year. The agreement announced today aims to tackle these issues head-on through an enhanced go-to-market strategy and by building security into every layer of hybrid multicloud infrastructure, every application development stage and every endpoint, allowing businesses to innovate with the most advanced AI while protecting their IP and data in the cloud.

This new phase of the partnership will deliver:

• End-to-end AI security from code to cloud: Customers will be able to protect live AI workloads and data on Google Cloud — including on Vertex AI and Agent Engine — with Palo Alto Networks Prisma AIRS. And by securing key developer tools like the Agent Development Kit (ADK) with Prisma AIRS, this expanded collaboration ensures a secure foundation for the next generation of AI applications built on Google Cloud — including AI Posture Management for visibility, AI Runtime Security^™ for real-time defense, AI Agent Security for autonomous systems, AI Red Teaming for proactive testing and AI Model Security for vulnerability scanning.
• AI-driven, next-generation software firewall (SWFW): Palo Alto Networks VM-Series firewalls are designed to secure cloud (public, private, hybrid) and virtualized environments by providing deep packet inspection and Threat Prevention in a software form factor. Deep integrations with Google Cloud will now allow customers to maintain robust security policies and accelerate Google Cloud adoption.
• AI-driven secure access service edge (SASE) platform: Palo Alto Networks Prisma SASE is a cloud platform that secures access and networking for remote users, branch offices and mobile devices, along with deeper integration of security solutions into Google Cloud's native AI services. Palo Alto Networks Prisma Access runs on Google's network, improving the user experience as users access cloud and AI applications that run on Google Cloud while also leveraging Google Cloud Interconnect to help customers connect their WAN infrastructure across multiple clouds/applications and maintain consistent security policies.
• Simplified and unified security experience: The deep alignment between the two companies ensures that customer solutions are pre-vetted and engineered to work together, removing the integration challenges and operational friction that can slow down security teams. This allows customers to deploy protection faster, simplify compliance and gain a single, comprehensive view of security across their entire hybrid multicloud environment.

BJ Jenkins, President, Palo Alto Networks

"Every board is asking how to harness AI's power without exposing the business to new threats. This partnership answers that question. We're removing the friction between security and development, providing a unified platform where the most advanced security is simply a native part of building what's next. Together with Google, we are embedding our AI-powered security deep into the Google Cloud fabric, turning the platform itself into a proactive defense system."

Matt Renner, President and Chief Revenue Officer, Google Cloud

"Enterprises are increasingly turning to Google Cloud and Palo Alto Networks to secure their applications and data — together and in a seamless way. This latest expansion of our partnership will ensure that our joint customers have access to the right solutions to secure their most critical AI infrastructure and develop new AI agents with security built in from the start."

Building on a history of success that includes more than 75 joint integrations and $2 billion in sales through the Google Cloud Marketplace, Palo Alto Networks is also expanding its commitment to run its security platforms on Google Cloud's secure, trusted AI infrastructure by migrating key internal workloads to Google Cloud in a new multibillion-dollar agreement. In addition, Palo Alto Networks is now using Google Cloud's Vertex AI platform and Gemini LLMs to power its copilots. Collectively, these initiatives deepen the engineering collaboration and ensure customers who run Palo Alto Networks on Google Cloud benefit from solutions that are natively optimized for performance, scale and reliability.

Learn more about Palo Alto Networks and Google Cloud here.

About Palo Alto Networks

As the global AI and cybersecurity leader, Palo Alto Networks (NASDAQ: PANW) is dedicated to protecting our digital way of life via continuous innovation. Trusted by more than 70,000 organizations worldwide, we provide comprehensive AI-powered security solutions across network, cloud, security operations and AI, enhanced by the expertise and threat intelligence of Unit 42^®. Our focus on platformization allows enterprises to streamline security at scale, ensuring protection fuels innovation. Explore more at www.paloaltonetworks.com.

Palo Alto Networks, Prisma, Prisma AIRS, and the Palo Alto Networks logo are trademarks of Palo Alto Networks, Inc. in the United States and in jurisdictions throughout the world. All other trademarks, trade names, or service marks used or mentioned herein belong to their respective owners.

About Google Cloud

Google Cloud is the new way to the cloud, providing AI, infrastructure, developer, data, security, and collaboration tools built for today and tomorrow. Google Cloud offers a powerful, fully integrated and optimized AI stack with its own planet-scale infrastructure, custom-built chips, generative AI models and development platform, as well as AI-powered applications, to help organizations transform. Customers in more than 200 countries and territories turn to Google Cloud as their trusted technology partner.

 

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SOURCE Palo Alto Networks, Inc.

FAQ

What did Palo Alto Networks and Google Cloud announce on December 19, 2025 about PANW?

They expanded a strategic partnership to integrate Palo Alto Networks security across Google Cloud AI services and announced a multibillion-dollar migration agreement.

How much Marketplace revenue has Palo Alto Networks generated with Google Cloud?

Palo Alto Networks reported $2 billion in sales through the Google Cloud Marketplace.

Will Prisma AIRS protect PANW workloads on Google Cloud services like Vertex AI?

Yes. Prisma AIRS will protect live AI workloads and data on Vertex AI and Agent Engine.

What scale of prior technical collaboration exists between PANW and Google Cloud?

The companies have completed more than 75 joint integrations.

Does the December 19, 2025 agreement change where Palo Alto Networks runs key workloads?

Yes. Palo Alto Networks agreed to migrate key internal workloads to Google Cloud under a multibillion-dollar arrangement.

How does the partnership address AI security risks mentioned by PANW?

The expanded integration adds AI Posture Management, AI Runtime Security, AI Agent Security and model scanning to secure AI infrastructure.