Google’s parent company makes its largest acquisition to date, boosting its cloud security and AI capabilities
Alphabet, Google’s parent company, has announced the acquisition of Israeli cybersecurity startup Wiz for $32 billion in cash, making it the largest private venture-backed sale in the cybersecurity industry. The deal is set to enhance Google’s competitive position in cloud security as it rivals Microsoft and Amazon in the enterprise technology space.
“This acquisition marks a significant step in strengthening cloud security and innovation.”
Thomas Kurian, CEO, Google Cloud
Wiz, founded in 2020, specializes in scanning cloud environments for security risks and has rapidly grown its customer base. The company is expected to double its annual recurring revenue to $1 billion by 2025. Under the agreement, Wiz will maintain its brand and operate independently across major cloud platforms.
“This acquisition marks a significant step in strengthening cloud security and innovation,” said Thomas Kurian, CEO of Google Cloud. “By bringing Wiz’s expertise into Google Cloud, we will help businesses secure their cloud environments more effectively.”
“Google’s acquisition of Wiz, following its Mandiant deal, signals a major push to dominate cloud security. This move strengthens its cybersecurity ecosystem while intensifying competition with Microsoft and Amazon.“
Ganesh Viswanathan, Co-Founder & President, AssistoAI
The acquisition highlights Alphabet’s broader strategy to diversify beyond search advertising and reinforce its cloud and AI offerings. However, the deal is expected to undergo regulatory scrutiny, particularly under the antitrust policies of the current U.S. administration. Alphabet has agreed to a $3.2 billion break fee if the deal fails to close.
With prominent investors such as Sequoia Capital and Insight Partners backing Wiz, the acquisition is also poised to deliver significant returns to venture capital firms. The integration of Wiz’s cybersecurity capabilities into Google Cloud is expected to drive further innovation in AI-powered security solutions.
