Zscaler adds browser Zero Trust via SquareX buy and unveils AI Security Suite
On Feb 5 Zscaler acquired SquareX to embed Browser Detection and Response into its Zero Trust platform, extending security directly into Chrome and Edge. On Feb 9 it launched AI Security Suite providing visibility and controls over generative AI across SaaS and private apps, while Cantor Fitzgerald reiterated Overweight rating.
1. Acquisition of SquareX
On Feb 5 Zscaler completed its purchase of SquareX to integrate its pioneering Browser Detection and Response (BDR) technology directly into Chrome and Edge. This addition allows IT teams to enforce Zero Trust policies in native browsers, securing SaaS and private applications on both corporate and BYOD devices without deploying separate third-party browsers.
2. AI Security Suite Launch
On Feb 9 Zscaler unveiled its AI Security Suite, which equips enterprises with discovery, visibility and governance controls for generative AI tools embedded in development environments and SaaS applications. The new platform aims to let security teams track AI usage organization-wide and enforce policies to mitigate risks associated with data exposure and unauthorized model interactions.
3. Analyst Reaction and Stock Impact
Following these strategic moves, Cantor Fitzgerald reaffirmed its Overweight rating on Zscaler, citing enhanced growth potential from browser-native Zero Trust and AI governance offerings. Despite an 18.9% year-to-date share price decline, the median analyst target of $320 reflects a 91% upside, underscoring strong bullish conviction amid sector headwinds.