Bangalore: Jay Chaudhry founded Zscaler which resisted outside funding till now, has raised $38 million in its first round mostly from EMC and Lightspeed Venture Partners reports crn. A four-year-old San Jose-based cloud security firm is the industry-first multi-tenant SaaS security provider.

Chaudhry has stated that “To date, we have resisted outside investment despite numerous inquiries from top-tier investors. Our new investors share our vision and are committed to helping Zscaler build a long-lasting business.”

Zscaler’s software as a service, which is hosted in more than 100 data centers, protects a company’s web traffic by routing requests through the software. The company has been providing a new form of security for mobile and cloud-dependent workforce. Zscaler products are used by more than 2,500 businesses processing around 5 billion transactions every day.

After being founded in 2007, Zscaler grew substantially sponsored only by internal investments.  In this period, it built a wide client-base which includes Crutchfield Corporation, La-Z-Boy and Telefonica. To top it up the company is cash flow positive says its release. The money raised through this funding will be used to expand the company’s sales and marketing, and further development of its product.

About Jay Chaudhry:

Zscaler is sixth successful venture of Chaudhry who speaks Punjabi and comes from a small dusty town near India's Himalayan foothills. A serial tech entrepreneur, an innovator and trendsetter, he has founded six companies with Zscaler being the latest venture after SecureIT, CoreHarbor, Air2Web, CipherTrust and AirDefense.

With a strong backing of Masters in Computer Engineering, Masters in Industrial Engineering and Masters in Business Administration from the University of Cincinnati, Chaudhry started his entrepreneurial stint with AirDefense and is still going strong with numerous honors in his credit including Entrepreneur of the Year award from Catalyst magazine three times.