Wiz, founded in 2020 by Israeli entrepreneurs, brings a fast-growing cloud security platform to Google’s arsenal, one that’s already trusted by 40% of Fortune 100 companies. With the deal slated to close in 2026 pending regulatory nods, Google aims to turbocharge its cloud offerings—currently a distant third behind Amazon Web Services (AWS) and Microsoft Azure—while keeping Wiz’s multicloud capabilities intact. Here’s why this acquisition matters, how it stacks up, and what it signals for the future of cloud security.
WIZ: THE CYBERSECURITY RISING STAR
Wiz isn't your average startup-it's a juggernaut in cloud security, hitting $700 million in annual recurring revenue (ARR) by early 2025, a meteoric rise from its $100 million ARR just 18 months after launch. Bloomberg reports that Wiz's platform scans enterprise cloud setups across AWS, Azure, and others— spotting risks and offering fixes in real time. Its appeal? A seamless, Al-powered approach that tackles prevention, detection, and response, making it a go-to for giants like Salesforce and Morgan Stanley.
image [https://cdn.magzter.com/1400077361/1742426961/articles/ulvsNCdsx1742538995734/1vO7bT6Nc1742540230643.jpg]
The company’s founders—Assaf Rappaport, Ami Luttwak, Yinon Costica, and Roy Reznik—cut their teeth at Adallom, sold to Microsoft for $320 million in 2015, laying the groundwork for Wiz’s rapid ascent. TechCrunch notes that Wiz’s $1 billion funding round in May 2024 pegged its valuation at $12 billion—now doubled to $32 billion in this deal, with $1 billion in retention bonuses sweetening the pot for its 1,700 employees. For users, it’s a signal: cybersecurity’s no longer a sideline—it’s a cornerstone of digital life.
image [https://cdn.magzter.com/1400077361/1742426961/articles/ulvsNCdsx1742538995734/uAry_nKnm1742540250090.jpg]
WHY GOOGLE’S BETTING BIG
Google Cloud’s been playing catch-up—its 12% market share trails AWS’s 31% and Azure’s 25%, per Statista’s 2024 data. Cybersecurity’s the linchpin—Microsoft’s Azure thrives on enterprise trust, bolstered by its own security suite, while Google’s offerings, like Mandiant (acquired for $5.4 billion in 2022), lag in scale. Reuters highlights that Wiz’s acquisition plugs this gap, bringing a platform that’s not just robust but multicloud-friendly—working across rivals’ systems without locking users into Google’s orbit.
The timing’s ripe—AI’s rise amplifies threats, from data breaches to deepfakes, with a 2024 CrowdStrike outage underscoring the stakes. Google’s Sundar Pichai, in a conference call per The New York Times, framed Wiz as a shield: “The pace and impact of breaches are accelerating. A.I. brings new risks, but also new opportunities.” For enterprise users, it’s a lifeline—stronger defenses without the hassle of switching clouds. Posts on X echo this—tech watchers call it a “shot across the bow” at Microsoft, per Business Insider’s take on Wedbush analysis.
image [https://cdn.magzter.com/1400077361/1742426961/articles/ulvsNCdsx1742538995734/HZvNGThoP1742540328498.jpg]
THE $32 BILLION DEAL: CASH AND CALCULUS
This isn’t a whim—Google’s shelling out $32 billion in cash, with a $3.2 billion breakup fee if regulators balk, per Reuters—one of the heftiest in M&A history. Last July, Wiz spur...