Google’s parent company Alphabet is currently in discussions to potentially acquire Wiz, a cloud security company, for a whopping $23 billion. Although the deal has not been finalized yet, sources suggest that it could be completed in the near future. Wiz is known for its comprehensive approach to cloud security, where it analyzes data from various cloud platforms such as Amazon Web Services, Microsoft Azure, and Google Cloud to identify potential security risks.
This potential acquisition could be a strategic move by Alphabet to strengthen Google’s cloud business, which saw a 28% growth to $9.57 billion in the first quarter of this year. Both Google and Wiz have not provided any official comments on the matter as of now.
Interestingly, this news comes shortly after Wiz raised a significant amount of funding with a $1 billion Series E round, valuing the company at $12 billion. Wiz was founded four years ago by former Microsoft employees and has since raised a total of $1.9 billion. The company reported $350 million in annual recurring revenue at the time of its most recent funding round.
Initially, Wiz seemed to be moving towards acquiring smaller security startups and eventually going public. However, if the acquisition by Alphabet goes through, it could potentially change the company’s trajectory. Wiz’s investors include reputable names such as Andreessen Horowitz, Lightspeed Venture Partners, and Sequoia Capital, among others.
The potential acquisition of Wiz by Alphabet highlights the growing importance of cloud security in today’s digital landscape. As more businesses rely on cloud services to store and manage their data, ensuring the security of that data has become a top priority. By acquiring Wiz, Google could enhance its cloud security offerings and provide customers with a more robust and comprehensive solution.
As the deal progresses, industry experts will be closely watching to see how it unfolds and the potential impact it could have on the cloud security market. The acquisition of Wiz could not only benefit Google’s cloud business but also pave the way for further innovations in cloud security technology. Stay tuned for more updates on this developing story.
