📰 Google Acquires Wiz for $32 Billion
Alphabet’s biggest acquisition ever aims to strengthen Google Cloud’s security and competitiveness against Amazon and Microsoft.
Alphabet GOOGL 0.00%↑ is acquiring Israeli cybersecurity firm Wiz for $32 billion. This is Alphabet’s largest acquisition ever and one of the biggest deals in the cybersecurity industry. With this move, Google wants to strengthen its position in the cloud market, where it competes with giants like Amazon Web Services and Microsoft Azure.
Cloud computing is growing fast, but so are cybersecurity threats. Businesses are handling more sensitive data in the cloud, and security breaches can have serious consequences. Google’s investment in Wiz shows how crucial cybersecurity has become for the future of cloud services.
Stronger security for Google Cloud
Google Cloud is gaining market share, but security remains a top concern for customers. Wiz develops software that scans cloud systems for security risks, helping businesses detect and fix vulnerabilities before they can be exploited. Companies like Morgan Stanley, BMW, and LVMH already rely on Wiz for their security needs.
By integrating Wiz’s technology, Google Cloud can offer stronger security solutions and attract more enterprise customers. With AI advancing rapidly, cyber threats are becoming more complex, making advanced security tools more important than ever.
Competing with Amazon and Microsoft
This isn’t Google’s first attempt to acquire Wiz. Previous discussions didn’t lead to a deal, partly due to regulatory concerns. Now, the acquisition is expected to be finalized in 2026, assuming it gets regulatory approval.
Google Cloud currently ranks third in the cloud market, behind AWS and Microsoft Azure. Both competitors have heavily invested in security to maintain their lead. Microsoft, for example, acquired cybersecurity firm RiskIQ in 2021, while AWS has strengthened its own security offerings. By acquiring Wiz, Google is making a bold move to close the gap.
Interestingly, Wiz will continue to support other cloud platforms, including AWS and Microsoft Azure, even after becoming part of Google. This suggests that Google sees value in keeping Wiz as an independent security provider rather than restricting its services to Google Cloud.
The future of Wiz within Google
Wiz is growing fast, with annual revenue currently around $500 million. Analysts believe this could surpass $1 billion in the coming years, especially with Google’s backing.
For Google, this acquisition isn’t just about revenue, it’s about reinforcing trust in Google Cloud. By offering best-in-class security, Google hopes to attract more large companies to its cloud platform. The deal also signals that cybersecurity will play an even bigger role in shaping the future of cloud computing.
With Wiz on board, Google is positioning itself as a stronger competitor in the cloud market. The battle for cloud dominance continues, and security will be a key factor in determining the winners.
Source: Reuters, The Guardian
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