A report on August 12, 2026, highlights Cloudflare's increasing traction in the Secure Access Service Edge (SASE) and Zero Trust markets. This poses a competitive challenge to established players like Zscaler. Customer demand for securing artificial intelligence (AI) drives interest in Cloudflare's offerings. Companies deploying AI agents seek security models designed for this new reality, where Cloudflare's developer-focused approach offers an advantage.
One example involves a large UK government agency re-evaluating its Zero Trust project. The agency adopted an "agents-first" approach after discussions with Cloudflare. It canceled a previous request for proposal. Cloudflare also secured a $5.2 million SASE deal with a Fortune 100 tech company. These contract wins suggest an intensifying competitive landscape for Zscaler. Securing AI workloads presents both a challenge and an opportunity for all sector players.