Google in Advanced Talks to Acquire Cybersecurity Startup Wiz for Whopping $30 Bn

Google's parent company, Alphabet, is reportedly in advanced negotiations to acquire the cloud cybersecurity startup Wiz for approximately $30 billion. This deal, if finalized, would mark one of the largest acquisitions in 2025 and significantly bolster Google Cloud's cybersecurity capabilities.

Wiz, founded in 2020 by former Israeli military officers, specializes in AI-powered cloud security solutions and has rapidly grown to become a major player in the industry.

Notably, Wiz had previously turned down an acquisition offer from Google in 2024, opting instead to pursue independent growth. However, renewed interest from Google has led to these ongoing discussions.

The cloud cybersecurity startup has received investments from several prominent entities. Among its key investors are Sequoia Capital, Index Ventures, Insight Partners, Cyberstarts, and Andreessen Horowitz. These firms have contributed significantly to Wiz's rapid ascent and impressive valuation in the cybersecurity sector.

Headquartered in New York city, Wiz has strong ties to Israel, as it was co-founded by a team of Israeli entrepreneurs, including Assaf Rappaport, Yinon Costica, Ami Luttwak, and Roy Reznik. These founders previously worked together at Microsoft, where they led the Azure Cloud Security Group. Additionally, they had earlier founded Adallom, another cybersecurity company, which was acquired by Microsoft in 2015.

Although Wiz is headquartered in New York City, it maintains a significant presence in Israel, with a substantial portion of its workforce based there. This connection highlights Israel's reputation as a global hub for cybersecurity innovation.

Google's potential acquisition of Wiz for $30 billion would be a landmark deal in the cybersecurity industry, significantly outpacing most recent acquisitions in terms of value.

Last year, Thoma Bravo's Acquisition of Darktrace for $5.3 billion, which was considered a major deal at the time. However, it pales in comparison to the scale of Google's proposed deal.

Another notable acquisition in 2024 was CyberArk's $1.5 billion acquisition of Venafi, aimed at enhancing its security offerings.

Sophos announced its intent to acquire SecureWorks for $859 million, focusing on expanding its managed detection and response capabilities.

Fortinet's Acquired Next DLP to bolster its secure access service edge (SASE) platform, though the financial terms were undisclosed.

Google's move to acquire Wiz would not only dwarf these deals in monetary terms but also underscore the growing importance of cloud security in the tech landscape. It reflects a broader trend of tech giants investing heavily in cybersecurity to address evolving threats and secure their cloud ecosystems.