Zscaler broadened its capabilities with a pair of acquisitions, buying cloud security posture management startup Cloudneeti for $8.9 million to prevent and remediate application misconfigurations in the cloud. The company then purchased early-stage vendor Edgewise Networks for $30.7 million to better protect application-to-application communications in public cloud and data center settings.
For the channel, San Jose, Calif.-based Zscaler rolled out a new partner program that tightens the firm’s relationship with its top solution providers by adding more enablement capabilities and increased access to channel account managers. Investors have looked very favorably at Zscaler’s moves, boosting the company’s stock by 274.4 percent during 2020 to $181.23 per share on a valuation of $24.32 billion.
The dramatic growth has been fueled by Zscaler’s investment in personnel, with the company increasing its headcount by 44 percent to 2,486 people driven by robust hiring around business development and sales. As a result of its product and partner investments, Zscaler’s year-over-year revenue for the 2021 fiscal year, which ends June 30, is expected to jump by 41.4 percent to $610 million.