Network security firm Palo Alto Networks is planning to increase the price of its hardware products by a 5%, citing impact from recent tariffs for imported components.
The Santa Clara, California-based cybersecurity company offers both network firewalls and cloud-based security solutions to help protect enterprise environments.
The manufacturer relies on a global supply chain for its operations, but continues to manufacture its hardware products in the United States. However, with some of the imported components impacted by recent tariffs, the company will increase prices on hardware starting November 1, 2019.
“We remain committed to manufacturing our hardware products in California. We have taken this approach to ensure the integrity of our products, as we aim to deliver on our vision of a world where each day is safer and more secure than the one before,” the company said in a blog post Thursday.
Some of the hardware components, the company explains, are being imported from China, due to the fact that there are no competitive alternatives in other countries.
Palo Alto Networks also notes that it has been “absorbing ongoing and escalating tariff costs,” but that it finally decided to increase the cost of their hardware that is being manufactured in the United States.
Moving forth, the company says it will continue to evaluate changes to its global supply chain in an attempt to minimize the impact of tariffs.
“We continue to evaluate our approach, and modify as necessary, as official changes in U.S. government policy evolve,” the company said.
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