Google Announces $32 Billion Acquisition of Cybersecurity Firm Wiz

Google has confirmed its largest-ever acquisition, announcing a $32 billion all-cash deal to purchase Wiz, a rapidly growing cloud security company.

This move signals Google’s deep investment in cybersecurity as artificial intelligence (AI) continues to drive demand for secure cloud computing.

The deal, which requires regulatory approval, surpasses Google’s previous largest acquisition, the $12.5 billion purchase of Motorola Mobility in 2012—a deal that later resulted in significant losses.

Wiz, founded just five years ago, has quickly become a major player in cloud security. The company was co-founded by Assaf Rappaport, Ami Luttwak, Yinon Costica, and Roy Reznik, who met while serving in Unit 8200, the cyber intelligence division of the Israel Defence Forces.

Last summer, Wiz was in talks to sell to Google for around $23 billion, but the deal fell through as the company shifted focus to an initial public offering (IPO). The revived acquisition talks suggest Google sees immediate strategic value in the cybersecurity firm.

Some analysts believe the Google-Wiz deal could mark the beginning of a rebound in tech mergers and acquisitions, following a slowdown due to market volatility and regulatory hurdles.

With Lina Khan, former Federal Trade Commission (FTC) chair, stepping down, Wall Street insiders, including Wedbush Securities analyst Dan Ives, anticipate a resurgence of big tech M&A activity.

"With Lina Khan gone at the FTC…the M&A engines are back underway in Big Tech," Ives wrote in a note to clients.

The deal highlights Google’s increasing focus on cybersecurity as AI-driven cloud computing becomes more vulnerable to cyber threats.

If approved, this acquisition will significantly expand Google’s cloud security capabilities, reinforcing its competitive edge against Microsoft and Amazon Web Services (AWS).
Source: CNN