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Palo Alto Networks plans to acquire AI infrastructure startup Portkey, backed by Elevation Capital. The move targets a growing gap in AI security as organizations shift from copilots to autonomous systems that operate with high levels of access across internal and external workflows. This will also expand the company’s presence in the growing AI infrastructure market.
Palo Alto Networks is set to acquire Portkey to strengthen its enterprise AI security capabilities, as businesses scale the use of autonomous agents. The California-based firm plans to integrate Portkey into its Prisma AIRS platform, where it will function as a centralized AI gateway to monitor, route, and secure AI-driven interactions across enterprise environments.
Lee Klarich, Chief Product & Technology Officer of Palo Alto Networks, said: "As autonomous agents join the enterprise workforce, they also become a new, unmanaged attack surface. By integrating Portkey into Prisma AIRS, organizations will be able to confidently deploy and govern AI agents. With Portkey, we are providing enterprises with visibility into all their agentic traffic, and enabling them to control and protect against agentic threats."
The combined offering will focus on reliability and scalability. Features include high-availability routing, automated failover, and detailed telemetry for monitoring AI activity. It also introduces centralized governance capabilities, allowing enterprises to manage AI models, agents, and tools across environments from a single interface.
Founded in Bengaluru, Portkey builds software that helps developers and enterprises design, deploy, and manage AI applications and autonomous agents in production environments. Portkey provides infrastructure for managing AI agents at scale, processing trillions of tokens per month with low latency. Its platform allows runtime inspection of AI traffic, governance policies, and applies identity-based controls to regulate agent behavior. It also offers semantic routing, failover capabilities, telemetry, and audit logs.
Rohit Agarwal, CEO and Co-Founder of Portkey, said: "Scaling AI in production requires a delicate balance between total flexibility for developers and absolute control for security teams. By joining Palo Alto Networks, we will establish the AI Gateway as the foundational layer of the secure AI enterprise. Together, we will provide the infrastructure that allows every organization to deploy autonomous agents with the confidence that their data and operations are fully protected."
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Palo Alto Networks will continue to support Portkey’s existing customer base after the deal closes, which is expected in the fourth quarter of its fiscal year 2026. The integration is expected to help enterprises consolidate fragmented AI tooling into a unified control layer, while improving oversight and reducing operational costs through features such as caching and usage limits.
It also supports access to a wide range of large language models and tools through a single interface. Palo Alto Networks and Portkey share a joint vision to make Prisma AIRS the most ubiquitous platform for AI security.
The acquisition comes less than 2.5 months after Portkey raised $15 Mn in a Series A round led by Elevation Capital and Lightspeed. Earlier, it had secured $3 Mn in a seed round led by Lightspeed in August 2023.
