MOUNTAIN VIEW, Calif. (Diya TV) — Alphabet Inc., the parent company of Google, said that it would acquire Israeli cloud security firm Wiz for $32 billion in cash, its largest acquisition ever. The strategic move is meant to strengthen Google’s position in the highly competitive market for cloud computing, in which it lags behind leaders Amazon Web Services and Microsoft Azure.
Established in 2020, Wiz became a notable force in cloud security within a short span, providing agentless solutions that identify and solve vulnerabilities on multiple cloud platforms. Wiz has a large customer base consisting of several Fortune 100 companies and reached an annual recurring revenue of $500 million in 2024 with an outlook to reach $1 billion in 2025.
The move reaffirms Alphabet’s focus on strengthening its cloud offerings, especially in cybersecurity. With the addition of Wiz’s cutting-edge security technology, Google seeks to offer stronger defenses for its cloud clients to meet the increasing demand for secure cloud solutions at a time when artificial intelligence and digital transformation are dominating more and more of the market.
However, the transaction is likely to be subject to regulatory scrutiny, particularly in light of the prevailing antitrust climate. The Department of Justice has been aggressively pursuing cases against large technology firms, including Google, on allegations of monopolistic behavior. The success of this takeover will hinge on regulatory clearances, and analysts expect scrutiny of the implications of the deal for market competition.
This deal also brings to light the profitable returns for Wiz’s investors, including top venture capital firms like Sequoia Capital, Insight Partners, and Index Ventures, who will gain a lot from the deal.
