Mitsubishi Electric Acquires Nozomi Networks for $883M to Bolster Industrial Cybersecurity
Mitsubishi Electric Corporation has announced its acquisition of industrial cybersecurity firm Nozomi Networks for $883 million. The deal, expected to close in late 2025, underscores the increasing threats to critical infrastructure from cyber attacks, particularly from Chinese hackers.
U.S. government agencies have repeatedly warned about Chinese hackers targeting IT networks used for critical infrastructure. In 2020, the FBI and NSA reportedly alerted the U.S. about the activities of the China-based hacker group Volt Typhoon. These threats have led to a growing emphasis on industrial cybersecurity.
Nozomi Networks, specializing in security operational technology (OT) for manufacturing and public utilities, will operate independently as a wholly owned subsidiary of Mitsubishi Electric. It will maintain its headquarters in San Francisco and R&D operations in Switzerland. The acquisition aims to accelerate Nozomi's innovation while preserving its heterogeneous approach to supporting customers and partners. The deal follows Mitsubishi Electric's previous investment in Nozomi's series E funding round and their collaboration on innovation and go-to-market strategies. Nozomi Networks also launched its Arc Embedded product in Mitsubishi Electric PLCs in July 2024.
The acquisition, valued at $883 million, is expected to close in the fourth quarter of 2025. It highlights the increasing importance of industrial cybersecurity due to rising threats to critical infrastructure. Both companies aim to strengthen their partnership and maintain Nozomi's independence while benefiting from Mitsubishi Electric's resources.
