Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Perfect storm for South African tech buyers

      Perfect storm for South African tech buyers

      23 March 2026
      GoMetro to launch electric minibus taxis on Cape Town routes from October - Justin Coetzee

      GoMetro puts a date on its electric minibus taxi launch

      23 March 2026
      Meet the CIO | HealthBridge CTO Anton Fatti on the future of digital health

      Meet the CIO | HealthBridge CTO Anton Fatti on the future of digital health

      23 March 2026
      Open banking is growing in South Africa - but not for everyone

      Open banking is growing in South Africa – but not for everyone

      23 March 2026
      Cape Town BNPL start-up Happy Pay raises R86-million in seed funding

      Cape Town BNPL start-up Happy Pay raises R86-million in seed funding

      23 March 2026
    • World
      It's official: ads are coming to ChatGPT

      It’s official: ads are coming to ChatGPT

      23 March 2026
      Mystery Chinese AI model revealed to be Xiaomi's

      Mystery Chinese AI model revealed to be Xiaomi’s

      19 March 2026
      A mystery AI model has developers buzzing

      A mystery AI model has developers buzzing

      18 March 2026
      Samsung's trifold gamble ends in retreat

      Samsung’s trifold gamble ends in retreat

      17 March 2026
      Nvidia targets $1-trillion in AI chip sales as inference demand surges - Jensen Huang

      Nvidia targets $1-trillion in AI chip sales as inference demand surges

      17 March 2026
    • In-depth
      The last generation of coders

      The last generation of coders

      18 February 2026
      Sentech is in dire straits

      Sentech is in dire straits

      10 February 2026
      How liberalisation is rewiring South Africa's power sector

      How liberalisation is rewiring South Africa’s power sector

      21 January 2026
      The top-performing South African tech shares of 2025

      The top-performing South African tech shares of 2025

      12 January 2026
      Digital authoritarianism grows as African states normalise internet blackouts

      Digital authoritarianism grows as African states normalise internet blackouts

      19 December 2025
    • TCS
      TCS+ | Arctic Wolf unpacks the evolving threat landscape for SA businesses - Clare Loveridge and Jason Oehley

      TCS+ | Arctic Wolf unpacks the evolving threat landscape for SA businesses

      19 March 2026
      TCS+ | Vox Kiwi: a wireless solution promising a fibre-like experience - Theo van Zyl

      TCS+ | Vox Kiwi: a wireless solution promising a fibre-like experience

      13 March 2026
      TCS+ | Flipping the narrative on AI in the Global South - Josefin Rosén

      TCS+ | Flipping the narrative on AI in the Global South

      13 March 2026
      TCS | Sink or swim? Antony Makins on how AI is rewriting the rules of work

      TCS | Sink or swim? Antony Makins on how AI is rewriting the rules of work

      5 March 2026
      TCS+ | Bolt ups the ante on platform safety - Simo Kalajdzic

      TCS+ | Bolt ups the ante on platform safety

      4 March 2026
    • Opinion
      South Africa's energy future hinges on getting wheeling right - Aishah Gire

      South Africa’s energy future hinges on getting wheeling right

      10 March 2026
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Apple just dropped a bomb on the Windows world

      5 March 2026
      VC's centre of gravity is shifting - and South Africa is in the frame - Alison Collier

      VC’s centre of gravity is shifting – and South Africa is in the frame

      3 March 2026
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Hold the doom: the case for a South African comeback

      26 February 2026
      The AI fraud crisis your bank is not ready for - Andries Maritz

      The AI fraud crisis your bank is not ready for

      18 February 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Sections » Cloud services » Zscaler assets seized from South African data centres

    Zscaler assets seized from South African data centres

    Court documents show the US-headquartered company’s assets were seized as part of an ongoing legal dispute.
    By Nkosinathi Ndlovu11 February 2026
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    Zscaler assets seized from South African data centres

    Server equipment belonging to US-headquartered cloud security company Zscaler was seized by sheriffs of the court from NTT Data and Teraco data centres in Johannesburg and Cape Town between September and November of 2024, TechCentral has learnt.

    Court papers filed at the high court in Johannesburg confirm that the asset seizures relate to an ongoing dispute between Zscaler and Accelerate Networks International, a former distributor of Zscaler’s services in Southern Africa. Accelerate initiated the legal action against Zscaler.

    According to the documents, seen by TechCentral, Accelerate Networks claims Zscaler breached a distributor agreement between the two parties prior to requesting a termination of said agreement.

    Documents seen by TechCentral show that multiple racks belonging to Zscaler were seized from multiple data centres

    Accelerate Networks alleges that in deal negotiations involving the sale of software services to Absa in 2023, a Zscaler representative agreed to give Accelerate Networks, as the incumbent service provider, 10% price protection on a portion of the services outlined in the agreement. This meant Accelerate Networks would be able to supply the services for 10% cheaper than any other supplier offering the same service and bidding for the contract.

    According to Accelerate Networks, the would-be deal was valued at US$6-million/year over three years, totalling $18-million. Accelerate was allegedly poised to make $700 000 in profit from the agreement.

    However, Accelerate Networks has alleged that Zscaler then went on to bypass the established channel – Accelerate Networks as the official distributor and tender-approved resellers – by selling the software to Absa directly via the Amazon Web Services platform.

    Damages

    This allegedly undercut Accelerate Networks’ bid, leading to it losing the Absa contract. Accelerate is claiming damages of just over $700 000 for the first claim.

    In a second claim, Accelerate has alleged that a second Zscaler representative deliberately defamed Accelerate Networks to one of its customers, NTT Data (then Dimension Data). This allegedly took place in 2022. The Zscaler representative is alleged to have convinced Dimension Data to stop purchasing Accelerate’s software services, urging them to purchase either from NTT Global or Westcon-Comstor instead. Although NTT Global had a relationship with Zscaler internationally, there was none in South Africa, leading Dimension Data to establish the relationship with Accelarate Networks. Westcon-Comstor also has an agreement to distribute Zscaler software in South Africa.

    Read: Telecoms industry drags home affairs minister to court

    Accelerate Networks said it eventually lost the business it previously had with NTT Data, a relationship it said began in 2012 and would have “continued indefinitely” had it not been for Zscaler’s alleged interference. Accelerate estimated lost profits “on a conservative basis” for five years since September 2023 to be to the tune of just over R19-million. The claim lodged against Zscaler is for R11.4-million, according to court documents. The total for both claims is R22-million.

    Documents seen by TechCentral show that multiple racks belonging to Zscaler were seized from multiple data centres by sheriffs of the court. It is as yet unclear if this was all of Zscaler’s hardware at each site or only a portion of it.

    A Teraco data centre east of Johannesburg
    A Teraco data centre east of Johannesburg

    TechCentral has attempted repeatedly to contact Zscaler to ascertain the voracity of the claims against it and the extent to which its operations in South Africa, and regionally, have been affected by the asset seizure. No response has been forthcoming.

    Headquartered in San Jose, California, Zscaler was one of the first companies to shift away from virtual private network-centred security towards using a cloud-based exchange and the idea of security as a service.

    The company operates in more than 185 countries with over 30 regional offices in key markets such as India, London and Paris. Its cloud-based security services are distributed using a hub-and-spoke model through 160 data centre nodes at various locations around the world.

    According to its website, Zscaler has a total of seven points of presence in Africa. Three of these are in Lagos, Nigeria. The other four are at the aforementioned NTT Data and Teraco facilities in Johannesburg and Cape Town.

    Read: SIU takes aim at Oracle in treasury corruption probe

    Some of Zscaler’s clients in South Africa, according to its website, include Capitec Bank and Fortune 500 companies with local subsidiaries.  – © 2026 NewsCentral Media

    Get breaking news from TechCentral on WhatsApp. Sign up here.

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Absa Accelerate Networks Amazon Web Services NTT Data Teraco Zscaler
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleSA app wants to end guesswork in online grocery shopping
    Next Article Standard Bank joins smart ID push with fee-free launch

    Related Posts

    SA banks race to scale AI and cloud as challenger threat intensifies

    SA banks race to scale AI and cloud as challenger threat intensifies

    17 March 2026
    Absa impairs R2.4-billion in software after strategy rethink

    Absa impairs R2.4-billion in software after strategy rethink

    10 March 2026
    Watch | Amazon data centres hit in Middle East drone attacks

    Watch | Amazon data centres hit in Middle East drone attacks

    3 March 2026
    Company News
    AnyDesk - high-performance remote access built for the modern enterprise

    AnyDesk – high-performance remote access built for the modern enterprise

    23 March 2026

    How South African executives can crack the AI ROI code

    20 March 2026
    Africa's first Nvidia RTX Pro GPU servers have landed

    Africa’s first Nvidia RTX Pro GPU servers have landed

    19 March 2026
    Opinion
    South Africa's energy future hinges on getting wheeling right - Aishah Gire

    South Africa’s energy future hinges on getting wheeling right

    10 March 2026
    Hold the doom: the case for a South African comeback - Duncan McLeod

    Apple just dropped a bomb on the Windows world

    5 March 2026
    VC's centre of gravity is shifting - and South Africa is in the frame - Alison Collier

    VC’s centre of gravity is shifting – and South Africa is in the frame

    3 March 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Perfect storm for South African tech buyers

    Perfect storm for South African tech buyers

    23 March 2026
    GoMetro to launch electric minibus taxis on Cape Town routes from October - Justin Coetzee

    GoMetro puts a date on its electric minibus taxi launch

    23 March 2026
    Meet the CIO | HealthBridge CTO Anton Fatti on the future of digital health

    Meet the CIO | HealthBridge CTO Anton Fatti on the future of digital health

    23 March 2026
    Open banking is growing in South Africa - but not for everyone

    Open banking is growing in South Africa – but not for everyone

    23 March 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}