The billionaire founder of Palo Alto Networks started a new cybersecurity company.
Briefly

The billionaire founder of Palo Alto Networks started a new cybersecurity company.
"The industry has overrotated toward delivering everything in the cloud, and that has left many of the most important customers stuck 20 years behind. Zuk is betting that a third of the market has been left behind in the rush to the cloud, targeting governments, defense contractors, and other highly regulated customers that cannot move sensitive data off-premises."
"When he started Palo Alto Networks in 2005, he recalled, people told Zuk, 'You're crazy, nobody's going to use the cloud to consume cybersecurity services.' Now, he said, he's hearing a familiar refrain: 'You're crazy. Nobody starts a hardware company to run on premises in 2026 in any space, not just in cyber security.'"
"Just as he was seen as a contrarian for starting a cloud-based cybersecurity company in 2005, he relishes going against the grain in 2026. 'I like to be crazy,' he said. 'I know there's a market out there.'"
Nir Zuk, founder of Palo Alto Networks, retired after building the company into a $125 billion cybersecurity giant. He is now launching Cylake, a new startup that takes a contrarian approach by rejecting cloud-based security in favor of hardware-based, on-premises solutions. The company targets highly regulated customers including governments and defense contractors who cannot upload sensitive data to the cloud. Zuk believes the industry has overrotated toward cloud delivery, leaving approximately one-third of the market underserved. Backed by $45 million from Greylock, the same investor that funded Palo Alto's early growth, Cylake represents Zuk's bet that significant demand exists for on-premises security solutions despite industry trends favoring cloud adoption.
Read at Business Insider
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