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Zscaler and Schwarz Digits Partner to Deliver Sovereign Cloud Security Platform for Europe

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Zscaler (NASDAQ: ZS) and Schwarz Digits, the IT and digital division of Schwarz Group, announced a strategic partnership to run the Zscaler Zero Trust Exchange on Schwarz Digits’ sovereign cloud infrastructure STACKIT in Germany. The joint service delivers a sovereign Zero Trust SASE platform for customers across Europe, hosted in German data centers and operated by STACKIT.

The offering targets highly regulated and mission-critical sectors such as public administration, defense, financial services, and healthcare, aiming to address AI-driven cyber threats, European data-sovereignty expectations, and regulatory requirements including NIS2, DORA and the EU AI Act.

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Positive

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Negative

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News Explained

The partnership is operational rather than merely announced: Zscaler says the sovereign Zero Trust SASE offering is now available across Europe, hosted in German data centers and operated by STACKIT, with deployment, management, operation and support included.

News Market Reaction – ZS

+2.94%
12 alerts
+2.94% Session close to close
$24.09B Market Cap
1.0x Rel. Volume

In the Jul 28 session, ZS gained 2.94%, reflecting a moderate positive market reaction. Our momentum scanner triggered 12 alerts that day, indicating notable trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The historical record shows a prior partnership announcement followed by -2.73% over 24 hours, addin...
Analysis

The historical record shows a prior partnership announcement followed by -2.73% over 24 hours, adding a divergence check to this sovereign-cloud launch. The platform also records Net Selling among insiders; subsequent disclosures remain relevant.

Key Figures

Announcement date: July 28, 2026 Global data centers: 160+ data centers Daily threats and violations: Billions every day
3 metrics
Announcement date July 28, 2026 Partnership announcement
Global data centers 160+ data centers Zscaler platform distribution
Daily threats and violations Billions every day Cyber threats and policy violations addressed by the platform

Historical Context

5 past events · Latest: Jun 25 (Positive)
Pattern 5 events
Date Event Sentiment 24h Move Catalyst
Jun 25 Partnership announcement Positive -2.7% New multi-year Formula One cybersecurity partnership was followed by a negative 24-hour reaction.
Jun 10 AI research report Neutral -0.9% ThreatLabz report cited lower phishing volume but greater AI-driven attack sophistication.
Jun 10 Platform expansion Positive -0.9% Expanded platform announcement added AI operations and broader workload protection capabilities.
Jun 09 AI partnership expansion Positive -2.6% Project AI-Guardian expansion introduced enterprise AI governance and zero-trust integrations.
Jun 09 Product innovation Positive -2.6% Product innovations introduced AI Broker, Endpoint AI Security, and AI Access Graph.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

All five selected prior announcements were followed by negative 24-hour price reactions, indicating historical divergence between announcement sentiment and price response.

Key Terms

zero trust, sase, data sovereignty, nis2, +1 more
5 terms
zero trust technical
"Joint offering delivers sovereign Zero Trust SASE for customers across Europe"
Zero trust is a security approach that assumes no one, whether inside or outside an organization, should be automatically trusted. Instead, every access request is carefully verified before being granted, much like checking ID at every door rather than trusting someone just because they are known. For investors, it emphasizes the importance of protecting digital assets and data from potential breaches, reducing overall risk.
sase technical
"This creates a sovereign Zero Trust Secure Access Service Edge (SASE) service"
SASE, or Secure Access Service Edge, is a modern technology that combines network security and access management into a single, cloud-based service. It ensures that users can safely connect to company resources from anywhere, much like having a secure, virtual gatekeeper that protects digital information. For investors, SASE matters because it reflects how organizations are adopting advanced security measures to support flexible, remote work environments and protect valuable data.
data sovereignty regulatory
"European customers are increasingly demanding sovereign technology"
Data sovereignty is the principle that digital information is subject to the laws and control of the country or entity where it is stored or processed. For investors, it matters because where data lives affects a company's legal obligations, costs, ability to sell services across borders, and exposure to government access or restrictions — like owning a house that must follow the rules of the town it sits in.
nis2 regulatory
"European regulations including NIS2, DORA, the AI Act"
NIS2 is a European Union cybersecurity law that sets mandatory rules for how many businesses and public organizations must protect their networks, report cyber incidents, and undergo checks. Think of it as a requirement to install stronger locks, keep a log of any break-ins, and show auditors the keys; for investors, compliance affects a company’s legal risk, operating costs and reputation, and can influence future cash flow and valuation.
dora regulatory
"European regulations including NIS2, DORA, the AI Act"
The EU Digital Operational Resilience Act (DORA) is a law that requires banks, asset managers, insurers and other financial firms to strengthen how they prevent, detect and report problems with information technology and third‑party service providers. It matters to investors because it raises standards for cybersecurity and incident disclosure, which can change a firm’s costs, reduce unexpected outages or losses, and make operational risks easier to compare—like forcing buildings to meet safety codes so occupants and insurers can better judge risk.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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  • Partnership operates the Zscaler Zero Trust Exchange™ platform on Schwarz Digits’ cloud infrastructure STACKIT in Germany.
  • Joint offering delivers sovereign Zero Trust SASE for customers across Europe, combining Zscaler’s deep cybersecurity expertise with data sovereignty.

BAD FRIEDRICHSHALL, Germany and MUNICH, July 28, 2026 (GLOBE NEWSWIRE) -- Zscaler, the cybersecurity platform for the AI era, and Schwarz Digits, the IT and digital division of Schwarz Group, today announced a strategic partnership. The collaboration combines the Zscaler Zero Trust Exchange platform with Schwarz Digits’ European sovereign cloud STACKIT. This creates a sovereign Zero Trust Secure Access Service Edge (SASE) service designed to prevent AI-driven threats and increase cyber resilience. Now available to customers across Europe, this offering is hosted in German data centers and operated by STACKIT. While built for organizations across every industry, the solution is tailored specifically for mission-critical operations in public administration, defense, financial services, and healthcare.

European customers are increasingly demanding sovereign technology while cybersecurity threats continue to escalate rapidly in scale, speed and sophistication, driven in particular by the use of AI by malicious actors. At the same time, European regulations including NIS2, DORA, the AI Act, and others have elevated cybersecurity to a board-level priority. Organizations must address digital sovereignty concerns while also meeting strict cybersecurity regulatory requirements and not losing sight of performance demands. This balancing act can be difficult to achieve.

Schwarz Digits and Zscaler solve these needs simultaneously by deploying the Zscaler security platform in Schwarz Digits’ data centers to deliver a holistic Zero Trust SASE sovereign cloud approach. Organizations can now secure their hybrid workforce while meeting demanding operational resilience and supply-chain security expectations. The joint offering covers the deployment, management, operation, and support of a state-of-the-art cybersecurity cloud platform, so that customer data and operations remain protected against cyber threats and aligned with European legal requirements.

Christian Müller, CEO of Schwarz Digits, explains: “Technological independence begins with infrastructure. Through this partnership, we are taking network security to a new level: we are evolving existing security architectures and focusing on high-performance identity verification. For our customers, this means even stronger protection against cyberattacks.”

“In an era of AI-driven cyber threats, a modern Zero Trust SASE solution is the only effective way to protect sensitive enterprise data,” says Misha Kuperman, Chief Reliability Officer at Zscaler. “Our partnership with Schwarz Digits is a concrete demonstration of our long-term commitment to Europe: Together, we help our customers eliminate their attack surface and prevent the lateral movement of threats, while still maintaining compliance with European regulations through EU data residency. This enables the highest level of security while aligning with European digital sovereignty regulations.”

“Our customers in the private and public sector need secure, resilient IT infrastructure without compromising on digital sovereignty. By uniting the expertise of two technology leaders, we make this a reality: Zscaler provides an advanced Zero Trust SASE architecture to counter AI-driven cyberattacks, while Schwarz Digits ensures a sovereign cloud infrastructure through STACKIT. This helps to ensure all data remains in the EU and is protected against third-party access,” says Bernd Wagner, CSO of Schwarz Digits.

More information
Please find more information at www.schwarz-digits.de/en.

Contact
Schwarz Digits
Telephone +49 7132 30 490 490
presse@digits.schwarz

Media Contacts
Nick Gonzalez, Director of Public Relations
press@zscaler.com

About Zscaler
Zscaler (NASDAQ: ZS) is a pioneer and global leader in zero trust security. The world’s largest businesses, critical infrastructure organizations, and government agencies rely on Zscaler to secure users, branches, applications, data & devices, and to accelerate digital transformation initiatives. Distributed across 160+ data centers globally, the Zscaler Zero Trust Exchange™ platform combined with advanced AI combats billions of cyber threats and policy violations every day and unlocks productivity gains for modern enterprises by reducing costs and complexity.

Forward-Looking Statements

This press release contains forward-looking statements that are based on our management’s beliefs and assumptions and on information currently available to our management. These forward-looking statements include the expected delivery, adoption, and performance of the Zero Trust security service, including deployment on STACKIT infrastructure. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. A significant number of factors could cause actual results to differ materially from statements made in this press release, including those factors related to the deployment, performance, regulatory alignment, customer adoption and market acceptance of the joint offering across Europe. Additional risks and uncertainties are set forth in our most recent Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (“SEC”) on May 26, 2026, which is available on our website at ir.zscaler.com and on the SEC’s website at www.sec.gov. Any forward-looking statements in this release are based on the limited information currently available to Zscaler as of the date hereof, which is subject to change, and Zscaler will not necessarily update the information, even if new information becomes available in the future.

About Schwarz Digits
Schwarz Digits is the IT and digital division of Schwarz Group and offers impressive digital products and services that meet the high German data protection standards. With the aim of achieving the greatest possible digital sovereignty, Schwarz Digits provides the IT infrastructure and solutions for the extensive ecosystem of Schwarz Group’s companies and develops it for the future. Schwarz Digits' sovereign core services include Cloud, Cyber Security, Data and AI, Communication and Workspace. In addition, Schwarz Digits creates optimal conditions for the development of trend-setting innovations for end customers, companies and public sector organizations.


FAQ

What did Zscaler (ZS) announce in its July 28, 2026 partnership with Schwarz Digits?

Zscaler announced a strategic partnership with Schwarz Digits to operate the Zscaler Zero Trust Exchange on the STACKIT sovereign cloud in Germany. According to Zscaler, this joint offering delivers a Zero Trust SASE cloud security platform for customers across Europe with EU data residency.

What is the sovereign Zero Trust SASE platform launched by Zscaler (ZS) and Schwarz Digits?

The platform is a cloud-based Zero Trust Secure Access Service Edge operated on Schwarz Digits’ STACKIT infrastructure in German data centers. According to Zscaler, it combines Zero Trust security with European data sovereignty to help protect organizations against AI-driven cyber threats and regulatory non-compliance.

How does the Zscaler (ZS) and Schwarz Digits partnership address European data sovereignty requirements?

The partnership runs the Zscaler Zero Trust Exchange on STACKIT’s European sovereign cloud, hosted in German data centers. According to Zscaler, this setup helps ensure data remains in the EU, supports EU data residency, and aligns with European digital sovereignty and cybersecurity regulations.

Which sectors are targeted by the new Zscaler (ZS) and Schwarz Digits sovereign cloud security service?

The joint offering is built for all industries but tailored to mission-critical operations in public administration, defense, financial services, and healthcare. According to Zscaler, it aims to secure hybrid workforces while supporting operational resilience and supply-chain security expectations in these sectors.

How does the Zscaler (ZS) and Schwarz Digits solution help with NIS2, DORA, and EU AI Act compliance?

The solution combines Zero Trust SASE security with a sovereign EU-based cloud infrastructure. According to Zscaler, this helps organizations meet stricter cybersecurity and resilience requirements from regulations like NIS2, DORA, and the AI Act while maintaining performance and digital sovereignty.

Where is the joint Zscaler (ZS) and Schwarz Digits Zero Trust SASE service operated and hosted?

The service is hosted in German data centers and operated by STACKIT, Schwarz Digits’ European sovereign cloud. According to Zscaler, this German hosting supports EU data residency, reduces exposure to non-EU jurisdictions, and underpins the offering’s sovereign cloud positioning for European customers.