Google has finalized its largest acquisition to date, purchasing Wiz, a rapidly growing cloud security startup, for up to $33 billion. According to sources close to the deal, the announcement is expected imminently.
Despite joining Google’s ecosystem, Wiz will continue operating independently, offering its security services across all cloud platforms, not just Google Cloud Platform (GCP). The acquisition aligns with Google’s ambition to strengthen its position in enterprise cloud security as it competes with Amazon Web Services (AWS) and Microsoft Azure.
A Record-Breaking Acquisition
This acquisition surpasses Google’s previous $12.5 billion Motorola Mobility purchase in 2011 and follows an earlier failed attempt in 2024 when Google offered $23 billion for Wiz. The initial negotiations collapsed over concerns about antitrust regulations, Wiz’s operational autonomy, and valuation disagreements.
At the time, Wiz was valued at $12 billion after securing $1 billion in funding. Since then, its annual recurring revenue (ARR) has surged to $700 million, with projections to reach $1 billion in 2025.
Why Google Wants Wiz
Google has long sought to expand its enterprise cloud and cybersecurity offerings. Wiz, which has been growing exponentially, presents an opportunity for Google to leap ahead in cloud security innovation.
Wiz’s CEO, Assaf Rappaport, had previously hinted at the possibility of an acquisition but emphasized the company’s strategic independence. Last year, he described turning down Google’s earlier $23 billion offer as “the toughest decision ever” but also “the right choice”—a stance that appears to have paid off financially.
Regulatory and Industry Implications
The deal is still subject to regulatory approval, but industry analysts believe the new U.S. administration’s approach to tech mergers may favor such acquisitions.
With Thomas Kurian, CEO of Google Cloud, leading the negotiations, the acquisition is expected to turbocharge Google’s position in cybersecurity and position Wiz as a cornerstone of Google’s cloud defense strategy.
As the cloud security market continues to expand, this acquisition solidifies Google’s commitment to protecting enterprises against evolving cyber threats, setting the stage for further industry consolidation.
