Google Cloud and Palo Alto Networks sign deal worth nearly $10 billion

Google Cloud has recently entered into a long-term security services partnership with Palo Alto Networks as the use of AI in cloud environments continues to grow among enterprises. According to a source cited by Reuters, the deal is valued at nearly $10 billion over its duration.

This collaboration represents Google Cloud’s largest security services agreement to date. While specific financial details were not disclosed publicly, the magnitude of the partnership underscores the escalating concern within enterprises regarding the rapid expansion of attack surfaces in cloud infrastructure due to the adoption of AI.

The concerns highlighted in Palo Alto Networks’ State of Cloud Report, released in December 2025, further support this notion. The report revealed that 99% of respondents had encountered at least one attack on AI-related infrastructure in the past year. Concurrently, organizations are increasingly relying on cloud platforms to facilitate new AI tools, thereby amplifying the scale and complexity of already strained security teams.

The enhanced partnership between the two companies is primarily centered around fortifying AI systems throughout their entire lifecycle, from development to deployment. Rather than treating security as a separate layer, Google Cloud and Palo Alto Networks are striving to seamlessly integrate protection into the construction, implementation, and accessibility of AI workloads in hybrid and multicloud environments.

A pivotal aspect of this collaboration involves safeguarding live AI workloads operating on Google Cloud. Palo Alto Networks’ Prisma AIRS platform will be utilized to secure AI systems running on services like Vertex AI and Agent Engine. These tools aim to encompass various areas, such as visibility into AI posture, runtime defense, agent behavior, and model testing. Additionally, developer tools, including the Agent Development Kit, are incorporated to address concerns regarding security vulnerabilities that often emerge early in the development process.

Network security is another key focus area of the partnership. Palo Alto Networks’ VM-Series software firewalls are being more intricately integrated with Google Cloud to empower organizations to enforce consistent security controls across public, private, and hybrid environments. The objective is to streamline the migration of workloads to the cloud for teams while upholding inspection and threat prevention standards.

Furthermore, the collaboration addresses remote access and distributed work scenarios. Palo Alto Networks’ Prisma SASE platform, which amalgamates networking and security for users outside conventional office settings, will be deeply embedded within Google’s infrastructure. Prisma Access operates on Google’s network, while Google Cloud Interconnect facilitates the connection of wide-area networks across cloud environments. This setup is designed to assist organizations in maintaining consistent security policies as users access AI applications from diverse locations.

The overarching goal of the partnership is to enhance operational efficiency. Through pre-engineering integrations between their platforms, Google Cloud and Palo Alto Networks aim to minimize the manual effort required to link tools and manage policies. This approach is intended to provide security teams with a consolidated view within environments, enabling them to operate more efficiently without introducing additional complexity.

BJ Jenkins, President of Palo Alto Networks, emphasized that boards are increasingly focused on leveraging AI without heightening exposure to risks. He characterized the partnership as a means to mitigate the tension between rapid development and robust security, positioning protection as an inherent component of the platform rather than a hindrance. The objective is to embed AI-powered defenses directly into Google Cloud, making security an integral part of innovation.

This collaboration builds upon an existing relationship that encompasses over 75 joint integrations and approximately $2 billion in sales through the Google Cloud Marketplace. As part of this new phase, Palo Alto Networks is also transitioning key internal workloads to Google Cloud under a separate multibillion-dollar agreement.

Moreover, the company is leveraging Google Cloud’s Vertex AI platform and Gemini large language models to support its internal copilots. These strategic moves deepen the technical bonds between the two entities and ensure that customers utilizing Palo Alto Networks on Google Cloud benefit from systems designed to seamlessly interact at scale.

The timing of this partnership aligns with broader developments in the cybersecurity landscape. Google’s acquisition of Wiz for $32 billion and Palo Alto Networks’ expansion of its AI-focused security portfolio, along with the recent acquisition of Chronosphere, underscore the companies’ responses to the escalating concerns surrounding AI-driven attack techniques and automated threats.

Matt Renner, Chief Sales Officer at Google Cloud, highlighted that customers are increasingly seeking security and cloud platforms that operate synergistically rather than in isolation. He portrayed the expanded partnership as a means to empower organizations to safeguard critical AI infrastructure while imbuing new AI agents with inherent protection from the outset.

Industry analysts believe that this agreement bolsters Google Cloud’s standing in enterprise security and AI infrastructure as it competes with industry giants like Amazon and Microsoft. Notably, the partnership also carries a personal connection, as Palo Alto Networks’ Chief Executive, Nikesh Arora, previously served as Google’s Chief Business Officer.

In summary, this collaboration signifies a broader shift in how enterprises approach AI-related risks. As AI becomes more deeply ingrained in day-to-day operations, security decisions are increasingly intertwined with platform selections that can influence how organizations construct and safeguard systems for years to come.

(Photo by Scott Graham)

See also: Amazon and Google team up to cut multicloud downtime

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