Zscaler Doubles Down on AI Security with Avalor Acquisition

Cloud security giant Zscaler made a strategic move this week, acquiring cybersecurity startup Avalor for a reported $310 million in cash and equity.
Avalor Logo

Cloud security giant Zscaler made a strategic move this week, acquiring cybersecurity startup Avalor for a reported $310 million in cash and equity. This acquisition signals Zscaler’s commitment to integrating artificial intelligence (AI) even deeper into its cloud security platform.

“This deal expands our platform with capabilities including streamlined reporting of security incidents, incident mitigation, asset discovery, data classification, security policy generation and more,” said Zscaler founder and CEO Jay Chaudhry in a press release. Analysts believe this move positions Zscaler to be a leader in the evolving security landscape, where AI plays a pivotal role in automating threat detection and response.

What was Avalor Bringing to the Table?

Founded just over two years ago, Avalor made its mark by offering a security information and event management (SIEM) solution with a twist. Avalor’s platform goes beyond simply collecting and aggregating security data. It utilizes AI to analyze this data, identify potential threats, and automate incident response workflows. This resonated with Zscaler, who has been steadily incorporating AI into its own security offerings.

Chaudhry said, “AI is only as good as the underlying data, and many solutions lack the additional context and knowledge from data sources across the enterprise to truly leverage security-specific AI models,” in a press release. “Zscaler operates the world’s largest security cloud with the most relevant data to train security specific large language models, and with the Avalor acquisition, we can more effectively identify vulnerabilities while predicting and preventing breaches.”

The Growing Importance of AI in Security

Cybersecurity threats are becoming increasingly sophisticated, and traditional security methods are often struggling to keep pace. AI offers a powerful tool for security professionals. Machine learning algorithms can analyze vast amounts of data to identify patterns and anomalies that might be missed by humans. This allows for faster detection of threats and quicker response times.

“[With Zscaler, ] we get instant access to a set of resources it would have taken years for us to develop organically — 7,000 customers, 4,200 channel partners globally, near-ubiquitous customer awareness and the validation of a $2 billion business behind us,” says Avalor’s blog published on Thursday morning. “We’ll continue to operate independently as a complete Avalor team, and we’ll have all the tailwinds of the amazing Zscaler resources helping us.”

What this Means for Zscaler Customers

Zscaler customers can expect to see the integration of Avalor’s AI-powered capabilities into their existing security platform over time. This will likely translate into features like:

  • More automated threat detection and response
  • Improved prioritization of security alerts
  • Enhanced security posture management
  • Streamlined security operations

By leveraging AI, Zscaler aims to empower its customers to stay ahead of cyber threats and protect their valuable data more effectively.

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