Zscaler Increases CapEx: Can AI-Led Demand Justify Higher Spending?
Zscaler is increasing its capital expenditures to support demand for AI-related security services, according to Zacks Investment Research. The company faces higher infrastructure costs that could pressure near-term free cash flow.
Why it matters — ZS watchers would care because this spending signals growing AI security demand while highlighting potential near-term pressure on free cash flow from higher infrastructure costs.