The tech giant Google, through Alphabet, has announced the acquisition of Wiz, the Israeli startup specialized in cloud cybersecurity, for $32 billion. This deal marks the largest primary acquisition of a venture-backed startup, surpassing other giants in the industry.
Wiz, founded in 2020 by former Microsoft executives, has revolutionized the world of multi-cloud security, enabling companies to monitor and protect complex cloud environments easily and centrally. After rejecting a $23 billion offer in 2023, the company has continued to grow, becoming a key player in corporate cloud environments.
A Strategic Move for Google Cloud
This acquisition strengthens Google’s commitment to compete more aggressively against Amazon Web Services (AWS) and Microsoft Azure, integrating Wiz’s technology to provide advanced cybersecurity solutions that meet the growing interest of companies in protecting their multi-cloud environments.
Index Ventures, the Big Winner
The primary financial beneficiary of this operation has been Index Ventures, which invested in Wiz from its seed stage and participated in all funding rounds. The firm thus becomes the largest external shareholder, holding a 13% stake, ahead of Sequoia (10%) and Insight Partners (8%).
Record Acquisitions in the Tech World
The acquisition of Wiz enters the podium of the largest deals in the tech sector, alongside notable names such as VMware and Red Hat. Here’s a recap of the largest venture-backed acquisitions:
| Company | Deal Amount | Type of Acquisition | Acquired by |
|---|---|---|---|
| VMware | $61 billion | Secondary | Broadcom |
| X (Twitter) | $44 billion | Post-IPO | Elon Musk |
| WorldPay | $43 billion | Secondary | FIS |
| Alexion Pharmaceuticals | $39 billion | Post-IPO | AstraZeneca |
| Red Hat | $34 billion | Post-IPO | IBM |
| Wiz | $32 billion | Primary | Alphabet (Google) |
| ARM | $32 billion | Secondary | SoftBank |
| Actelion Pharmaceuticals | $30 billion | Post-IPO | Johnson & Johnson |
| Afterpay | $29 billion | Post-IPO | Block (Square) |
| Horizon Therapeutics | $28 billion | Post-IPO | Amgen |
| Splunk | $28 billion | Post-IPO | Cisco |
| Slack | $28 billion | Post-IPO | Salesforce |
| $26 billion | Post-IPO | Microsoft | |
| $22 billion | Primary | Meta (Facebook) | |
| Flipkart | $21 billion | Secondary | Walmart |
| Pharmacyclics | $21 billion | Post-IPO | AbbVie |
Cybersecurity Takes Center Stage in the Market
This operation confirms the strategic role of cybersecurity in the present and future of technology. The integration of Wiz will allow Google to improve protection against vulnerabilities in increasingly complex environments, especially in light of the rise of generative artificial intelligence and the new risks associated with it.
The market is keenly observing how Google positions itself as an increasingly strong player in cloud security, as competition among major platforms intensifies. The acquisition of Wiz clearly indicates that major tech companies are not only betting on AI or infrastructure but also on protecting those advancements.
Source: Financial News