Palo Alto Networks Jumps as It Teams With Nvidia and Others to Provide Private 5G Security

Palo Alto Networks ( PANW ) was the best-performing stock in the S&P 500 in intraday trading Monday after the cybersecurity software firm announced a collaboration with several companies including Nvidia ( NVDA ) to provide private 5G security solutions and services.

Palo Alto Networks said that combining its enterprise-grade 5G security and 5G partner integrations and services “allows organizations to easily deploy, manage, and secure networks throughout their entire 5G journey.” It added that the launch both “addresses the need and desire for validated 5G integrations and furthers Palo Alto Networks’ strategic vision of an integrated, ecosystem approach to safeguard 5G deployments.”

Along with Nvidia, the companies involved in the agreement include Celona, Druid, Ataya, NetScout Systems ( NTCT ), and NTT Data.

Anand Oswal, senior vice president and general manager at Palo Alto Networks, said that while 5G holds “boundless potential to revolutionize our future,” deploying those networks is complex and presents significant security risks. He said that comprehensive solutions and innovating partner integrations are necessary to “ensure strong 5G security.”

Shares of Palo Alto Networks, which were up 8.4% to $305.78 as of about 3:20 p.m. ET, have gained more than 62% over the past year. Nvidia shares edged 0.4% higher, while NetScout Systems shares declined 0.6%.