Cato Networks

Cato Networks replaces MPLS with cloud-native converged WAN and security.
Venture Round $1.46B total Founded 2015 Tel Aviv, Tel Aviv 762 employees
Cato Networks delivers a cloud-native SASE (Secure Access Service Edge) platform that converges WAN and network security into a single unified service, eliminating the need for traditional MPLS and dispersed security stacks. Built on a globally distributed private backbone, the platform uses physical or virtual Cato Sockets at network edges to route and inspect traffic through Cato's cloud infrastructure with integrated security enforcement. The company serves 3,000+ enterprises including Carlsberg and TAG Heuer Porsche Formula E, replacing legacy on-premises architectures with a subscription-based, cloud-native alternative.
Problem solved
Enterprises struggle with fragmented networking (MPLS) and distributed security stacks that are difficult to manage, expensive to operate, and unable to keep pace with cloud and remote work.
Target customer
Mid-market to enterprise organizations with distributed locations (branches, data centers, cloud) seeking to consolidate WAN and security infrastructure; industries include financial services, retail, manufacturing, and healthcare.
Founders
S
Shlomo Kramer
Co-Founder & CEO
Serial cybersecurity entrepreneur; co-founded Check Point (first commercial firewall, 1993) and Imperva (2002); early investor in Palo Alto Networks, Trusteer, and Gong.
G
Gur Shatz
Co-Founder
Former co-founder and CEO of Incapsula (cloud-based web application security); held VP roles at Imperva in product development and engineering.
Funding history
Series A $20M Unknown Led by U.S. Venture Partners · Aspect Ventures
Series B $50M September 2016 Led by Unknown · Unknown
Series D $77M April 2020 Led by Unknown · Unknown
Series E $130M November 2020 Led by Lightspeed Venture Partners · Greylock Partners, U.S. Venture Partners, Aspect Capital, Singtel Innov8, Coatue Management
Series F $200M October 2021 Led by Lightspeed Venture Partners · Greylock, Acrew Capital, Coatue, Singtel Innov8, CEO Shlomo Kramer
Series G $238M September 2023 Led by Lightspeed Venture Partners · Adams Street Partners, SoftBank Vision Fund 2, Sixty Degree Capital, Singtel Innov8
Series G-I $359M June 2025 Led by Vitruvian Partners · ION Crossover Partners, Lightspeed Venture Partners, Acrew Capital, Adams Street Partners
Series G-II $50M September 2025 Led by Unknown · Unknown
Total raised: $1.46B
Pricing
OpEx subscription model priced by aggregated bandwidth per site. Ranges from approximately $100/month per site for basic SD-WAN at 25 Mbps, to $2,000/month per site for higher bandwidth up to 2 Gbps. Full SASE solution adds ~20% to base cost. Professional services typically add 15-25% to first-year contract value.
Notable customers
Carlsberg, TAG Heuer Porsche Formula E, 3,000+ total enterprise customers
Integrations
AWS, Google Cloud, Google Workspace, HubSpot, Stripe, Cloudflare
Tech stack
LazySizes (JavaScript libraries) jQuery (JavaScript libraries) core-js (JavaScript libraries) Swiper (JavaScript libraries) AOS (JavaScript libraries) Vimeo (Video players) Webpack Open Graph Module Federation HTTP/3 HubSpot Analytics (Analytics) Matomo Analytics (Analytics) Linkedin Insight Tag (Analytics) Google Analytics (Analytics) Facebook Pixel (Analytics) Cloudflare Bot Management (Security) HSTS (Security) Font Awesome (Font scripts) Google Workspace (Email) Cloudflare (CDN) MailChimp (Marketing automation) HubSpot (Marketing automation) Stripe (Payment processors) Google Tag Manager (Tag managers) Amazon Web Services (PaaS) Priority Hints (Performance) Segment (Customer data platform) HubSpot CMS Hub (CMS)
Competitors
Zscaler
Zscaler leads the market with 21% share and 34% of the SSE segment; Cato differentiates by converging WAN and security from inception rather than retrofitting security onto an SD-WAN platform.
Cisco
Cisco integrates security through acquisitions; Cato built as cloud-native from the start with a unified architecture.
Palo Alto Networks
Palo Alto historically focused on appliance-based security; Cato is purpose-built as a cloud-native SASE service with integrated WAN.
Broadcom
Broadcom's offerings are broader but less focused on SASE; Cato specializes exclusively in converged WAN and security.
Fortinet
Fortinet approaches security from an appliance-first model; Cato's cloud-native backbone provides superior global traffic routing and inspection efficiency.
Netskope
Netskope focuses heavily on cloud security; Cato converges cloud security with WAN optimization into a single platform.
Why this matters: Cato Networks is notable as a rare example of a B2B startup that achieved unicorn status ($1.46B raised, 3,000+ customers) by solving a genuine enterprise infrastructure problem—replacing rigid MPLS with cloud-native convergence. Founded by Shlomo Kramer (Check Point, Imperva) with a co-founder from Imperva and Incapsula, Cato demonstrates how deep domain expertise in security can drive enterprise adoption at scale. The company is worth watching as enterprises increasingly migrate to cloud and remote-first models, creating persistent demand for unified WAN and security services.
Best for: Enterprises with multiple locations and dispersed cloud infrastructure that need to replace legacy MPLS and consolidate fragmented security stacks into a single, cloud-managed service.
Use cases
Branch Office WAN Consolidation
A retail chain with 500+ locations replaces costly MPLS circuits and on-premises firewalls with Cato Sockets, reducing operational overhead and gaining centralized security policy enforcement. Traffic from all branches is encrypted and routed through Cato's backbone, eliminating backhauling and improving application performance.
Hybrid Cloud Security
An enterprise with workloads across AWS, Azure, and on-premises data centers deploys Cato to unify network and security policies across environments. A single security engine inspects all traffic, reducing complexity and enabling consistent DLP, threat detection, and compliance monitoring.
Remote Work Network Access
During pandemic-driven remote expansion, a financial services firm replaces VPN with Cato's cloud-native SASE. Remote workers connect directly to Cato Cloud, bypassing traditional data centers and gaining faster, more secure access to corporate resources without appliance sprawl.
Managed Security Service Transition
An organization consolidates multiple point security tools (firewall, web gateway, DLP, antimalware) under Cato's single-vendor platform, eliminating integration overhead and reducing licensing costs by 30-40% while improving threat visibility.
Alternatives
Zscaler Market leader in SSE with broader ecosystem; choose Zscaler for pure security-first needs or if you require extensive third-party integrations, but Cato offers tighter WAN convergence.
Cisco Umbrella + SD-WAN Cisco's modular approach pairs SD-WAN with security add-ons; choose if you already use Cisco infrastructure or need advanced SD-WAN features, but Cato integrates more seamlessly out-of-box.
Palo Alto Networks Prisma SD-WAN Palo Alto's retrofit of cloud-native security onto SD-WAN; choose if you have deep Palo Alto ecosystem investment, but Cato was architected for convergence from inception.
Fortinet FortiGate SD-WAN Fortinet emphasizes on-premises and hybrid deployments; choose for appliance-centric networks, but Cato's cloud-native approach is simpler for distributed, cloud-first organizations.
FAQ
What does Cato Networks do? +
Cato Networks delivers a cloud-native SASE platform that replaces traditional MPLS, SD-WAN, and dispersed security tools with a unified service. Traffic from all network edges (branches, data centers, cloud) is encrypted, routed through Cato's global private backbone, and inspected by a single security engine in a single pass.
How much does Cato Networks cost? +
Cato uses an OpEx subscription model priced by aggregated bandwidth per site. Basic SD-WAN starts around $100/month per site at 25 Mbps; higher bandwidth up to 2 Gbps can reach ~$2,000/month per site. Full SASE adds approximately 20% to the base cost. Professional services typically add 15-25% to first-year fees.
What are alternatives to Cato Networks? +
Top alternatives include Zscaler (market leader in SSE), Cisco Umbrella + SD-WAN, Palo Alto Networks Prisma SD-WAN, Netskope, Fortinet FortiGate SD-WAN, and Broadcom. Cato differentiates by being cloud-native from inception rather than retrofitting security onto SD-WAN or vice versa.
Who uses Cato Networks? +
Cato serves 3,000+ enterprise customers across financial services, retail, manufacturing, healthcare, and other industries. Notable customers include Carlsberg and TAG Heuer Porsche Formula E. Target buyers are mid-market to enterprise organizations with multiple locations and cloud infrastructure seeking to consolidate WAN and security.
How does Cato Networks compare to Zscaler? +
Zscaler leads the market with 21% share and is primarily a security-first SSE platform. Cato converges WAN and security as equals, making it better for organizations heavily focused on WAN optimization alongside security. Zscaler has broader ecosystem integrations; Cato offers tighter out-of-box convergence and simpler management for distributed networks.
How does Cato Networks compare to Palo Alto Networks? +
Palo Alto Prisma SD-WAN retrofits cloud-native security onto an SD-WAN foundation; Cato was architected as cloud-native convergence from the start. Cato offers simpler unified management and faster deployment for true WAN-security fusion, while Palo Alto benefits from deeper ecosystem and existing customer relationships.
Tags
SASE SD-WAN WAN network security cloud-native convergence enterprise networking cloud infrastructure