The purchase price was paid predominantly in cash, with a portion delivered in the form of equity, subject to vesting conditions. The acquisition closed on March 13, 2024.
Zscaler, a cloud security platform, acquired AI start-up Avalor on March 13. The company has not disclosed the amount of the acquisition. With over 150 integrations, this extends Zscaler Zero Trust ExchangeTM data, enhancing vulnerability prediction and operational efficiency, according to the company statement. However, according to The Globe, the acquisition is for $350 million.
The rapid advancement of AI will have pivotal impacts on the cybersecurity industry, and to effectively combat AI-led threats, organizations must fully harness their currently isolated security data on a massive scale.
Zscaler's 16 years of leadership in operating the world's largest cloud security platform have allowed it to leverage a massive data set to develop its pioneering AI-driven solutions, including Zscaler Risk360 and Zscaler Business Insights, which set a new benchmark for proactive cybersecurity and business intelligence, as per the company statement.
“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,” said Jay Chaudhry, CEO, Chairman, and Founder of Zscaler. “Zscaler operates the world’s largest security cloud with the most relevant data to train security-specific large language models (LLMs), and with the Avalor acquisition, we can more effectively identify vulnerabilities while predicting and preventing breaches.”
By expanding Zscaler’s Zero Trust Exchange platform with a security-centric data fabric, Zscaler enables enterprises to significantly enhance and fully automate AI-driven analytics and decision-making in real-time without the complexity of data aggregation and collection, according to the company statement.
“We have long understood that being able to make sense of all the disparate security data sources in an organization is essential to understanding and improving risk posture; that’s why we delivered the industry's first Data Fabric for Security to provide that aggregated platform,” said Raanan Raz, co-founder and CEO of Avalor.
“The first application running on our data fabric is our Unified Vulnerability Management (UVM) module. By combining the Zscaler proprietary data sets with the 150 third-party sources Avalor supports, we will be in a prime position to enhance our UVM capabilities and create new applications with additional cyber protection insights.”