Mitsubishi Electric Corp. on Tuesday said it agreed to buy industrial cybersecurity specialist Nozomi Networks.
The deal is valued at about $1 billion, making it one of the largest ever acquisitions in the industrial cybersecurity space.
Nozomi Networks, one of the world’s leading cybersecurity firms for critical infrastructure, will become a wholly owned subsidiary of Mitsubishi Electric, but will operate independently.
“Our platform will continue to defend heterogeneous OT/IoT environments, and our openness to partner ecosystems and OEM collaborations remains a cornerstone of how we address the market,” Mike Plante, CMO of Nozomi Networks, told Cybersecurity Dive via email.
The two companies previously had established a financial and operational relationship, as Mitsubishi Electric had participated in a $100 million Series E funding round announced in March 2024.
Mitsubishi Electric said the deal was driven largely by the growing importance of operational technology security in the Internet of Things space, as well as digital transformation in the manufacturing and social infrastructure.
Mitsubishi Electric had been working to develop its one-stop OT security capabilities by melding its security tools with Nozomi Networks technology. As part of the 2024 deal, Mitsubishi integrated its factory automation equipment and its OT security technology with Nozomi Networks’ network visualization tools and intrusion detection capabilities.
The companies have been working together on technology development and go-to-market strategies in connection with that investment.
The deal is expected to close by the fourth quarter of 2025. Nozomi Networks will retain its San Francisco headquarters, as well as research and development facilities in Mendrisio, Switzerland.
