Alphabet Inc., the parent company of Google, has said it will close the largest-ever acquisition by acquiring cybersecurity company Wiz at $32 billion. The transaction signals the growing focus being applied to cloud security in the modern technology world.
Established in 2020, Wiz has been making waves with its unorthodox method of vulnerability discovery and remediation for cloud operations. Wiz expanded exponentially to achieve an annual recurring revenue of $500 million in 2024, with the goal of doubling it by 2025. Wiz’s technology streamlines cloud security management, which is a big draw for businesses.
The acquisition is anticipated to make Google’s cloud security services more enhanced in the market compared to other major cloud service providers like Amazon Web Services and Microsoft Azure. As businesses prioritize cybersecurity, Google aims to expand its service portfolio in this regard through Wiz’s expertise.
Industry analysts point to Wiz’s success due to its leadership and its capability to develop security solutions that align with cloud-native environments. Such an approach has resulted in establishing the company as a go-to for most enterprises looking for efficient security solutions.
Cybersecurity has come more and more into the limelight with the growing use of artificial intelligence and cloud computing. Google’s investment in Wiz is just one part of the larger trend of technology companies broadening their security efforts to counter new threats.
Regulatory approval is still to be obtained before the transaction is closed, but the analysts forecast a smooth process considering the competitive nature of the cybersecurity sector. With other competitors like Palo Alto Networks and CrowdStrike also looking to expand their portfolios, Google’s takeover of Wiz positions it well in its sector.
If finalized, the deal will improve Google’s security product portfolio and the overall cloud security market, given that companies require more protection from cyberattacks.
Source: www.marketwatch.com/