GOOGLE’S ACQUISITION OF WIZ: A STRATEGIC TURNING POINT FOR CYBERSECURITY

Copyright GH

March 28, 2025

Alphabet, Google’s parent company, has entered into a definitive agreement to acquire Wiz, a start-up specialising in cybersecurity for the cloud, for $32 billion. This all-cash acquisition, expected to be completed by 2026, marks a strategic turning point for Google Cloud.

Founded in 2020 in New York, Wiz specialises in security solutions for data stored in remote data centres. Thanks to partnerships with giants such as Microsoft and Amazon, the start-up generated $350 million in revenue in 2023. Wiz expects to exceed $1 billion in revenue by 2025.

Google’s previous record was held by its purchase of Motorola Mobility in 2011 for $12.5 billion. This acquisition of Wiz, the largest in Google’s history, allows the company to strengthen its cybersecurity solutions for its cloud services.

According to the Wall Street Journal, Alphabet revived its interest in acquiring Wiz after a first attempt in 2023 for about $23 billion. In the end, Google acquired the cybersecurity start-up for $32 billion, the largest acquisition in its history. The previous record was $12.5 billion for Motorola Mobility in 2011.

With the integration of Wiz, Google strengthens its position in cybersecurity and responds to the growing demand for security in cloud environments. The growth of generative AI companies is creating an exponential need for computing power, but this increased use of the cloud is also increasing the risk of cyber-attacks. With its Zero Trust technology, Wiz is enabling Google to better protect cloud infrastructures.

Wiz, which expects to exceed $1bn in revenue by 2025, already equips half of the top 500 US companies. Founded by former members of Israeli intelligence, the start-up had previously created Adallom, which was sold to Microsoft for $320m in 2015.

Google currently generates $43bn in cloud sales, up 30% in a year. With Wiz, the two giants aim to simplify and democratise cloud security, making it easier to adopt AI. Google CEO Sundar Pichai notes that AI presents both risks and opportunities, but the integration of Wiz will improve security while reducing costs, paving the way for smoother adoption of emerging technologies.