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Zscaler Unveils AI Innovations to Power the Industry’s Most Comprehensive Data Protection Platform

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On May 14, 2024, Zscaler (NASDAQ: ZS) announced enhancements to its AI Data Protection Platform, aiming to provide the industry's most comprehensive data protection solution. The platform now includes Data Security Posture Management (DSPM) for sensitive data protection across public clouds, context-rich GenAI App Security, and real-time Email DLP for corporate emails. These updates aim to address increasing security risks due to shadow AI and ransomware as enterprise AI/ML transactions have surged by 600% from April 2023 to January 2024. Zscaler's platform leverages over 500 trillion data points analyzed daily to improve visibility and security across multiple environments, including SaaS, IaaS/PaaS, endpoints, and on-premise networks.

Positive
  • Zscaler's platform enhancements address rising security threats like shadow AI and ransomware.
  • The new Data Security Posture Management (DSPM) provides comprehensive protection for sensitive data in public clouds.
  • Real-time Email DLP secures sensitive data across corporate email systems like Microsoft 365 and Google Gmail.
  • Consolidated Unified SaaS Security integrates multiple standalone technologies, reducing cost and complexity.
  • AI Auto Data Discovery now covers all data-at-rest locations, increasing efficiency and reducing complexity.
Negative
  • The need for such extensive updates suggests existing solutions may have been insufficient to address current security threats.
  • The complexity of integrating multiple new features could present challenges for current users in terms of implementation and training.
  • Heavy reliance on AI and automation could introduce new vulnerabilities if not managed properly.
  • Increasing security risks and the surge in AI/ML transactions highlight a rapidly evolving threat landscape that may outpace current security measures.

Insights

Zscaler’s recent innovations in their AI Data Protection Platform mark substantial advancements in cloud security. By integrating Data Security Posture Management (DSPM), real-time email protection and context-rich GenAI App Security, Zscaler is addressing one of the most critical needs in today’s data-centric environment: comprehensive data visibility and protection.

The platform’s ability to discover and protect data across various environments such as public clouds, SaaS applications and on-premises infrastructure is crucial. The use of AI to automate these processes is significant because it reduces the manual effort of data classification and monitoring, thus minimizing human error and enhancing speed and efficiency. The AI-driven insights and automated workflows further streamline security operations, making the tool not only powerful but also user-friendly for security teams.

The addition of inline email protection to secure sensitive data in email communications addresses a major vulnerability. Email remains a common vector for data breaches and real-time protection can significantly reduce the risk of accidental data loss and insider threats.

For retail investors, this innovation shows Zscaler’s commitment to staying at the cutting edge of security technology, potentially driving market share gains in a growing industry. However, the market should watch how effectively these features are adopted and the impact on customer satisfaction and retention.

Zscaler's strategic enhancements to its AI Data Protection Platform could have significant financial implications. With the integration of DSPM and advanced AI security features, Zscaler is poised to capture a larger share of the data protection market, which is projected to grow substantially as enterprises increasingly prioritize cybersecurity.

From a financial perspective, the reduction in complexity and the possibility of replacing multiple legacy point products with a single platform could lead to cost savings for customers, potentially making Zscaler’s solutions more attractive. This could drive revenue growth and improve profitability margins as customers seek consolidated, efficient security solutions to manage their data protection needs.

Additionally, the company’s ability to analyze and utilize over 500 trillion data points daily using AI for visibility and protection underscores its technological edge, likely translating into continued demand for its services. Investors should also consider the potential for increased subscription renewals and upselling opportunities with these new features, which could positively impact Zscaler’s financial performance in both the short and long term.

However, it’s essential to remain aware of the competitive landscape. Major players in cybersecurity are continuously innovating, which could pressure Zscaler to maintain its leadership position and pricing power.

Market dynamics suggest that Zscaler’s new AI-driven features could strongly position the company within the cybersecurity market. The emphasis on comprehensive data protection across various environments aligns with the increasing complexity of IT ecosystems, including the proliferation of SaaS applications and hybrid cloud infrastructures.

By addressing the growing challenges of shadow AI, ransomware and data sprawl, Zscaler is effectively tapping into top concerns among enterprise customers. Products that can offer both robust security and operational simplicity are highly valued, especially as cybersecurity budgets continue to grow. This strategic positioning could help Zscaler not only retain existing customers but also attract new ones who are looking to modernize their data protection strategies.

The market should note the strategic partnerships and endorsements from industry analysts like IDC and Cohesity, which add credibility and may influence purchasing decisions. These endorsements suggest that Zscaler’s solutions are recognized as effective by thought leaders and could enhance market perception and adoption rates.

Investors should, however, monitor how these innovations affect Zscaler’s competitive positioning relative to other leading cybersecurity firms. Market share gains will be a key indicator to watch, alongside customer feedback and satisfaction metrics.

New Data Security Posture Management (DSPM), Inline email protection and Gen-AI security advancements safeguard data-in-motion and data-at-rest across all exfiltration channels

SAN JOSE, Calif., May 14, 2024 (GLOBE NEWSWIRE) --  Zscaler, Inc. (NASDAQ: ZS), the leader in cloud security, announced multiple innovations to its AI Data Protection Platform that leverage the world’s largest security cloud and the power of AI. These innovations make Zscaler’s AI Data Protection platform the industry’s most comprehensive data protection solution. We protect:

  • Structured and unstructured data in-motion, at-rest, and in-use
  • Data across all inline channels including Web, SaaS, Email, BYOD, and private applications in both data centers and public cloud
  • Data in SaaS, IaaS/PaaS environments, endpoints, and on-premises network shares

Data protection is a top priority for all organizations that must protect intellectual property and customers’ data from malicious insiders, accidental data loss, and bad actors. The problem is compounded with the expanding threat of new shadow AI, ransomware, and increased cloud usage. According to the 2024 ThreatLabz AI Report, enterprise AI/ML transactions grew by nearly 600% from April 2023 to January 2024, despite mounting security risks.

"There is an immediate and critical need for a consolidated approach to data protection that can secure all types of data, in all locations, while streamlining security operations," said Moinul Khan, Vice President and General Manager, Data Protection, Zscaler. “Great data protection starts with complete visibility. Point products create complexity and security gaps, and do not provide a full 360 degree view of your enterprise data. With today’s launch of the Zscaler AI Data Protection Platform, we are continuing our commitment to help customers see all their data and scale security protection to prevent leaks. By enabling data security across structured and unstructured data and all channels with our comprehensive data protection platform, organizations can replace multiple legacy point products to reduce cost and complexity."

Zscaler analyzes and harnesses knowledge from over 500 trillion data points daily across users, devices, networks, and applications. The power of AI and automation increases visibility to sensitive data everywhere, provides insightful context, and delivers closed-loop workflow automation. The latest enhancements to Zscaler’s AI Data Protection Platform include the following:

  • Natively integrated Data Security Posture Management (DSPM), engineered as a central part of Zscaler’s data protection platform that discovers, classifies, and protects sensitive data in public clouds such as AWS and Microsoft Azure.
  • Context-rich GenAI App Security with user and risk correlation providing insights to risky prompts, AI app usage, and granular policy controls.
  • New, real-time Email DLP for securing sensitive data across corporate email including Microsoft 365 and Google Gmail - one of the most problematic insider threat vectors.
  • Additional platform enhancements including:
    • Consolidated Unified SaaS Security, which integrates traditionally stand-alone technologies such as, SSPM, SaaS Supply Chain Security, Out-of-Band API CASB Security and analysis of deep user activities, to deliver a highly accurate correlation engine. This engine provides powerful, actionable insights for SaaS data, enabling proactive risk management and mitigation.
    • Expanded AI Auto Data Discovery to encompass all data-at-rest locations, including Endpoint, SaaS, and Public Cloud Infrastructure. This expansion streamlines legacy data protection programs by reducing complexity and enhancing efficiency.

“Organizations are looking for more ways to extract value from the data that exists across their ecosystem, while keeping sensitive and confidential information protected. The combination of data discovery, classification and mapping provides essential context for confident enforcement of security controls while still optimizing business processes,” said Jennifer Glenn, Research Director, Security & Trust, IDC. “Data security solutions, such as Zscaler’s AI Data Protection Platform, can help identify and fix data security issues, while also reducing the cost and complexity of deploying multiple classification engines and other point products.”

"Today’s enterprises are tasked with managing data across more platforms than ever before including devices, clouds, applications and servers. Protecting and securing this data from loss and the exponential rise in threats like ransomware is a monumental task made even more challenging when teams have limited visibility into data at rest and in motion,” said Elad Horn, GVP, Product, Cohesity. “Together, Cohesity and Zscaler are helping these organizations bolster their data security and posture, offering deep visibility into sensitive data while empowering them to better defend their data from threats and speed their time to recovery from incidents.”

To read more on how Zscaler is continuing to innovate and lead the industry in data protection, visit this blog.

About Zscaler
Zscaler (NASDAQ: ZS) accelerates digital transformation so customers can be more agile, efficient, resilient, and secure. The Zscaler Zero Trust Exchange™ platform protects thousands of customers from cyberattacks and data loss by securely connecting users, devices, and applications in any location. Distributed across more than 150 data centers globally, the SSE-based Zero Trust Exchange™ is the world’s largest in-line cloud security platform.

Zscaler™ and the other trademarks listed at https://www.zscaler.com/legal/trademarks are either (i) registered trademarks or service marks or (ii) trademarks or service marks of Zscaler, Inc. in the United States and/or other countries. Any other trademarks are the properties of their respective owners.

Media Contact:
Zscaler PR
press@zscaler.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/676153f4-4929-4035-8882-70692d2aa5ea


FAQ

What new features has Zscaler added to its AI Data Protection Platform?

Zscaler added Data Security Posture Management (DSPM), context-rich GenAI App Security, real-time Email DLP, and expanded AI Auto Data Discovery.

How does Zscaler's new platform address email security?

Zscaler's platform now includes real-time Email DLP to secure sensitive data across corporate email systems like Microsoft 365 and Google Gmail.

What is the significance of the 600% increase in AI/ML transactions for Zscaler?

The 600% increase in AI/ML transactions indicates a rising demand for advanced security measures, which Zscaler aims to address with its enhanced AI Data Protection Platform.

How does Zscaler's DSPM feature enhance data protection?

DSPM discovers, classifies, and protects sensitive data in public clouds like AWS and Microsoft Azure, providing comprehensive data protection.

What environments does Zscaler's AI Data Protection Platform cover?

The platform covers SaaS, IaaS/PaaS environments, endpoints, on-premise network shares, and public cloud infrastructure.

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