NET 3Q25: Growth Momentum Intact, Story Still Unfolding

In our previous quarter’s report, we highlighted that Cloudflare is positioning itself as the “Connectivity Cloud” for the AI era, unifying its network, security, and compute capabilities under a single platform. The company is further exploring ways to integrate the content economy (Pay-Per-Crawl) and a payment layer into its ecosystem.

This quarter suggests that Cloudflare’s growth story is still unfolding, with a high likelihood of delivering another accelerating quarter. Cloudflare is likely to sustain a modest beat-and-raise cadence through the coming quarters.Among the four ACT segments, ACT2 (Security) and ACT3 (Workers AI) maintained solid growth this quarter. ACT2 made a major contribution to revenue expansion, while ACT3, though still a smaller base, saw rapid growth. ACT1 (Network Services) demand remained stable. ACT4 (Pay-Per-Crawl) is still in the early go-to-market phase; though it has limited near-term financial impact, initial customer feedback has been positive.

Overview by Products

ACT2: Cybersecurity (SASE-Led)

Cloudflare’s security segment, primarily driven by its SASE offerings, continues to gain traction and brand awareness, particularly in the enterprise segment. It remains one of the key drivers of revenue growth, supported by consistently strong customer feedback.

Several channel partners noted that Cloudflare’s integrated SASE + CDN solution has seen rising adoption among enterprise clients. While Zscaler and Palo Alto Networks are still viewed as stronger in pure-play security, Cloudflare’s integrated architecture gives it meaningful competitiveness.