Data Loss Prevention (DLP),
Data Security,
Endpoint Security
CEO Jay Chaudhry: SquareX Acquisition Aims at Unmanaged Devices and Third-Party Access
In a strategic move to bolster security for web browsers, Zscaler has acquired SquareX, a startup founded by Vivek Ramachandran, renowned for his role as CEO of Pentester Academy. This acquisition aims to provide organizations with enhanced device posture assessments and data loss prevention capabilities.
Based in San Jose, California, Zscaler reported that the acquisition of SquareX, which operates out of Silicon Valley, empowers its customers to strengthen their browser-centric security measures without the complications associated with deploying agents or standalone enterprise browsers. “SquareX allows us to maintain centralized security policies in the cloud instead of dispersing them across various endpoints,” remarked CEO Jay Chaudhry.
Chaudhry emphasized that customer feedback reflecting a preference for browser-based security features drove this acquisition, stating, “They requested functionalities like posture checks using standard browsers, and SquareX has successfully developed extensions that fulfill these requirements.”
Founded in 2023, SquareX has attracted significant investment, raising $26 million, including a $20 million Series A funding round in April 2025, led by SYN Ventures. The startup aims to deliver lightweight browser extension technologies that enhance security while remaining compatible with existing Zscaler infrastructure.
Clients Reluctant to Embrace Traditional Solutions
Zscaler has observed a consistent demand among customers for robust browser-level security, with many opposing the installation of agents or the use of entirely new enterprise browsers. SquareX’s innovative technology stands out for its compatibility and capability to address these needs. Chaudhry noted, “Clients highlighted the emergence of third-party browsers capable of accessing applications and expressed their desire to utilize standard browsers without the need for additional agents.” This concern underscores the growing complexity and potential vulnerabilities associated with traditional endpoint solutions.
According to Chaudhry, complexities linked to agent deployment—from installation to ongoing maintenance—have led many organizations to seek simpler alternatives. He remarked, “Today’s browsers are developed with vast codebases that can become prone to vulnerabilities.” He further pointed out that established browsers, particularly those based on Chromium, face continuous updates to address security flaws, underscoring the logistical challenges associated with third-party dependency for patching and updates.
Furthermore, while agent-based solutions may provide deep visibility, they often introduce layers of management complexity and reliance on external parties. Observing this trend, SquareX’s browser-extension model simplifies deployment and mitigates the friction traditionally associated with granting access, according to Chaudhry.
Utilizing SquareX for Enhanced Data Handling
As organizations adapt to collaboration with external partners, the challenges of maintaining robust security while enabling document sharing have become apparent. Traditional methods, such as VPNs and Virtual Desktop Infrastructure (VDI), often expand attack surfaces and manifest operational challenges. Zscaler’s application-level access aims for enhanced security without compromising usability.
“By integrating features for cybersecurity and data loss prevention, we anticipate improved customer satisfaction,” Chaudhry explained. “Organizations can share documents while conditionally redacting sensitive information, thereby enhancing both security and convenience.” This nuanced approach allows for selective sharing of material, preserving valuable data while mitigating risks.
Ultimately, Zscaler’s acquisition of SquareX reflects a commitment to refining browser security capabilities in alignment with customer expectations, leveraging an established DLP policy framework while responding to the challenges posed by emerging security threats and operational complexities.
This acquisition, rooted in a strategic analysis of market dynamics and customer needs, positions Zscaler to enhance its offerings in a rapidly evolving cybersecurity landscape.