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Zscaler to acquire Red Canary to boost AI-powered security ops

Yesterday

Zscaler has agreed to acquire Managed Detection and Response provider Red Canary as part of an expansion of its AI-powered security operations capabilities.

Zscaler stated that Red Canary's decade-long expertise in security operations enables customers to investigate threats up to ten times faster with 99.6% accuracy, aided by streamlined workflows and automated remediation. This acquisition will bring Red Canary's threat detection and response across endpoints, identity, network, and cloud workloads together with Zscaler's Zero Trust Exchange Platform and Data Fabric.

The companies said the combination will form a unified Security Operations Center with agentic AI that fuses AI-driven workflows and human expertise. According to Zscaler, the move is intended to help security teams improve the speed and efficiency in detecting, triaging, investigating, and responding to threats, while aiming to reduce missed signals and incomplete threat analysis that can leave organisations vulnerable.

Jay Chaudhry, CEO, Chairman, and Founder of Zscaler, said: "With our innovative AI-powered risk management services like Risk360 and the acquired data fabric technology from Avalor, we are disrupting legacy security operations just like we did with our Zero Trust ExchangeTM platform. The proposed acquisition of Red Canary is a natural expansion of our capabilities into managed detection and response and threat intelligence to accelerate our vision of AI-powered SOC of the future. By integrating Red Canary with Zscaler, we will deliver to our customers the power of a fully integrated Zero Trust platform and AI-powered security operations."

Zscaler reported that it provides protection to nearly 45% of the Fortune 500, running a cloud security platform that processes more than 500 billion daily transactions. Over its 15-year history, the company has developed AI-driven solutions leveraging a comprehensive dataset, such as Zscaler Digital Experience (ZDX) and Zscaler Exposure Management.

Red Canary has been recognised for its contributions to managed detection and response, being named a Leader in the Forrester Wave: Managed Detection and Response for the third year running and featured in the Gartner Market Guide for MDR for the past seven years. Within security operations centres, Red Canary's technology helps automate remediation workflows, improving efficiency in response processes.

Zscaler described the transaction as uniquely positioned to address operational pain points linked to missed signals and increased vulnerability from undetected threats. The companies expect that their combined platforms and expertise will provide organisations with the tools to address current cyber security challenges more confidently and with precise response capabilities.

Brian Beyer, CEO of Red Canary, commented: "For over 10 years, we've protected our customers by combining high-fidelity signals with agentic AI, behavioral analytics, and global threat intelligence—delivering fast, accurate, and high-quality threat detection and response. As part of Zscaler, we will elevate how IT and security teams address the rapidly shifting threat landscape with the strength of our combined technology and expertise. Zscaler's global scale and reach provide the resources and granular data needed to fuel advanced AI, threat intelligence, and detection engineering, giving us a broader view of adversary behavior while enabling faster innovation across the board. Both companies share a relentless commitment to quality, execution, and delivering exceptional outcomes for our customers."

The completion of the acquisition remains subject to customary closing conditions and regulatory approvals. The companies anticipate closing the transaction in August 2025.

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