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Press Release

Zscaler Announces Record Q2 Operating Results

Sunnyvale, California, July, 15, 2010

Zscaler, Inc., the market leader in cloud security, today announced record Q2 operating results.  Bookings, earnings and customers using its cloud security service reached record levels in Q2.

Customers grew 100% over Q1, driven by strong cloud security adoption across the Global 2000, Service Providers, Small & Medium Businesses (SMB), governments and academic institutions.  In Q2, millions of users accessed the Zscaler Security Cloud from over 140 countries.  International bookings represented over 50% of worldwide bookings on the back of record quarters in Europe, Asia Pacific and Latin America.

“We’re in a multi-year cycle of enterprises needing to do more with less.  Globally, companies are quickly realizing that continuing to deploy appliances is impractical, “said Jay Chaudhry, CEO of Zscaler.  “Zscaler’s industry-leading cloud security technology provides enterprises the ability to protect their users while materially reducing cost and complexity.”

Zscaler’s technology resonates across all verticals. Retailers with thousands of store locations have adopted the technology to seamlessly protect employees and manage web access policies centrally, without needing to deploy boxes in each store. A Fortune 100 financial institution abandoned multiple security point products in favor of the integrated Zscaler service to secure users, manage web access, and prevent data loss -- a testament to the reduction in complexity offered by cloud service. The ease of deployment of the Zscaler service was evidenced by all customers, in particular a Fortune 500 service organization with 20,000 employees, which was able to eliminate 18 appliances in a deployment that took less than one week.

The placement of Zscaler as a Visionary by Gartner in its 2010 Magic Quadrant for Secure Web Gateway reinforces the inevitable migration towards cloud delivered security by organizations of all sizes.

About Zscaler

Zscaler (NASDAQ: ZS) accelerates digital transformation so customers can be more agile, efficient, resilient, and secure. The Zscaler Zero Trust Exchange™ platform protects thousands of customers from cyberattacks and data loss by securely connecting users, devices, and applications in any location. Distributed across more than 150 data centers globally, the SSE-based Zero Trust Exchange™ is the world’s largest in-line cloud security platform.

Media Contacts

Natalia Wodecki, Sr. Director, Global Integrated Communications & PR, [email protected]