Gil Shwed stepping down as Check Point CEO after 30 years
“I feel it is the right time for me to focus on the evolution of Check Point and its next stage. I intend to transition into the role of Executive Chairman charting the future of Check Point and the cyber security market,” said Shwed after the company announced that it ended 2023 with revenues of $2.4 billion, a 4% increase from 2022, and a net profit of $997 million
Gil Shwed announced on Tuesday that he is stepping down from his role as Check Point CEO after 30 years. The 55-year-old Shwed co-founded the cybersecurity giant in 1993 alongside Shlomo Kramer and Marius Nacht, who left the company long ago. Despite being the youngest founder, Shwed has been at the helm of Check Point since its inception and is now the longest-tenured CEO on Nasdaq. Upon finding a replacement, Shwed will transition to the role of Executive Chairman of Check Point.
“In 2023 Check Point hit the 30-year milestone as a company. We have delivered 30 years of growth and achieved record highs in almost every parameter for the year. We have an incredibly strong security platform with a super-strong team around the world and proven execution. I feel it is the right time for me to focus on the evolution of Check Point and its next stage. I intend to transition into the role of Executive Chairman charting the future of Check Point and the cyber security market,” said Shwed. “We’re initiating the succession process to hire a new CEO, and once completed I will transition into my new position as Executive Chairman. I’m excited to enter 2024 with a great technology pipeline, and a fully energized global team that is ready to deliver a bright and secure future for our customers.”
Shwed’s announcement is significant not only because he has led Check Point since its inception but also because he is known as a hands-on manager, particularly in terms of its technological vision. Throughout his tenure, he faced criticism for his conservatism, which allowed competitors like Palo Alto Networks, founded by Nir Zuk, one of Check Point's first employees, to surpass the company. Despite Check Point's current market value of around $19 billion, Palo Alto, which has made numerous acquisitions, has already surpassed the $100 billion mark.
Nevertheless, Shwed's departure comes at a time when Check Point is thriving, particularly in terms of profitability where it faces little competition. His retirement coincided with the release of the company's 2023 financial reports, which showed a return to growth despite global economic challenges. In 2023, Check Point made one of its largest acquisitions to date, purchasing Perimeter 81 for half a billion dollars. The company employs approximately 6,000 people, with 2,500 based in Israel. It ended 2023 with revenues of $2.4 billion, a 4% increase from 2022, and a net profit of $997 million, or $7.1 per share, with cash reserves totaling $2.9 billion.
