Palo Alto Networks plans to acquire Embrace to expand observability platform with digital experience monitoring
Palo Alto Networks has announced plans to acquire observability company Embrace. At the same time, Palo Alto Networks introduced a new Synthetic Monitoring capabilities developed by its Autonomous Digital Experience Management (ADEM) team.
The move is aimed at bringing Real User Monitoring (RUM), Synthetic Monitoring, infrastructure observability and application insights into a single platform, helping organisations detect and address performance issues before they affect users.
The additions are intended to provide organisations with a unified view of application performance by combining infrastructure monitoring, application observability, real-user insights, and proactive performance validation.
The acquisition remains subject to customary closing conditions and is expected to close during Palo Alto Network’s first quarter of fiscal 2027.
Bringing user and infrastructure together
According to Palo Alto Networks, modern applications have become increasingly distributed and autonomous, making performance monitoring more challenging. Organisations often rely on multiple monitoring tools, creating gaps in visibility across applications, infrastructure, and user experience.
The company said Embrace’s RUM technology captures how users interact with applications in real time, while the new Synthetics capability validates application availability and performance from multiple global locations before end users encounter issues.
By combining these capabilities, the platform is designed to help organisations:
- Monitor infrastructure health and user experience through a single interface.
- Detect and troubleshoot application performance issues more quickly.
- Identify potential problems before they affect employees or customers.
Expansion follows Chronosphere acquisition
The Embrace announcement follows Palo Alto Networks’ acquisition of Chronosphere in January 2026, continuing the company’s investment in its observability portfolio.
Palo Alto Networks said its Observability business surpassed US $300 million in annual recurring revenue (ARR) during the third quarter of fiscal 2026.
Acquisition awaits regulatory and customary approvals
Palo Alto Networks said the transaction is subject to customary closing conditions. The company noted that the planned acquisition includes forward-looking statements, and the expected benefits remain subject to regulatory approvals, integration efforts, and other business and market risks outlined in its filings with the U.S. Securities and Exchange Commission.