Google Announces Agreement to Acquire Wiz

Rhea-AI Summary

Google has announced a definitive agreement to acquire Wiz, a leading cloud security platform, for $32 billion in an all-cash transaction. The acquisition will integrate Wiz into Google Cloud, focusing on enhancing cloud security and multicloud capabilities in the AI era.

Wiz provides a security platform that connects to major clouds and code environments, serving organizations from startups to large enterprises and government entities. The combination aims to:

• Improve security design, operation, and automation
• Provide an automated security platform for cybersecurity teams
• Reduce security implementation and management costs
• Enhance protection against AI-related threats
• Boost multicloud security adoption

Post-acquisition, Wiz's products will continue to be available across major cloud platforms, including AWS, Microsoft Azure, and Oracle Cloud. The deal is subject to regulatory approvals and customary closing conditions.

Positive

• All-cash acquisition worth $32 billion demonstrates strong financial position
• Strategic expansion into growing cloud security market
• Enhancement of Google Cloud's security capabilities and multicloud offerings
• Retention of Wiz's cross-platform compatibility with major cloud providers
• Potential for increased market share in cybersecurity sector

Negative

• Large cash outlay of $32 billion impacts financial reserves
• Regulatory approval uncertainty could delay or prevent deal completion
• Integration challenges between different platforms and technologies
• Potential competitive response from other major cloud providers

Insights

Financial Analyst

Google's $32 billion acquisition of Wiz represents a significant strategic expansion that strengthens its competitive position in the rapidly evolving cloud security landscape. This all-cash transaction - Google's largest acquisition since buying Motorola Mobility for $12.5 billion in 2012 - targets two critical growth vectors: cloud security and multicloud adoption.

The deal makes strategic sense as enterprises increasingly operate across multiple cloud environments while facing escalating cybersecurity threats. By acquiring Wiz's cloud-native security platform, Google gains immediate credibility in the cloud security market while complementing its existing security portfolio.

From a financial perspective, while the $32 billion price tag represents approximately 1.5% of Google's $2.06 trillion market cap, the investment addresses a important growth opportunity. Cloud security spending is projected to outpace general IT spending as organizations prioritize protection against increasingly sophisticated threats, especially in the AI era.

This acquisition enhances Google Cloud's competitive positioning against AWS and Microsoft Azure while creating cross-selling opportunities across Google's enterprise customer base. The commitment to maintain Wiz's compatibility across all major cloud platforms (AWS, Azure, Oracle) suggests Google is embracing a platform-agnostic approach that could accelerate multicloud adoption and expand its total addressable market.

Technology Strategist

This acquisition represents a pivotal strategic move that addresses several technical imperatives in contemporary enterprise computing. By acquiring Wiz's cloud security platform, Google is addressing the fundamental architecture shift occurring in enterprise security - moving from perimeter-focused security to cloud-native security postures that protect distributed workloads.

The timing is particularly significant as AI adoption creates entirely new attack vectors and security challenges. Traditional security approaches are increasingly inadequate as organizations deploy larger models, process more sensitive data, and operate across multiple cloud environments.

From a technology implementation perspective, Wiz's ability to seamlessly connect to all major clouds solves a critical integration challenge that has historically plagued enterprise security teams. The platform's ease of use - highlighted in the announcement - addresses the growing security skills gap that organizations face.

Google's commitment to maintain Wiz's compatibility across AWS, Azure, and Oracle environments signals Google Cloud's evolution toward a more open ecosystem strategy. Rather than pursuing a walled-garden approach, Google appears to be positioning itself as the security foundation for multicloud architectures - a necessity given that 76% of enterprises now use multiple cloud providers.

This acquisition also suggests Google Cloud is prioritizing capabilities that reduce operational friction in security operations, which aligns with enterprise priorities of automating security processes and improving developer productivity without compromising security posture.

MOUNTAIN VIEW, Calif. and NEW YORK, March 18, 2025 /PRNewswire/ -- Google LLC today announced it has signed a definitive agreement to acquire Wiz, Inc., a leading cloud security platform headquartered in New York, for $32 billion, subject to closing adjustments, in an all-cash transaction. Once closed, Wiz will join Google Cloud.

This acquisition represents an investment by Google Cloud to accelerate two large and growing trends in the AI era: improved cloud security and the ability to use multiple clouds (multicloud).

Both cybersecurity and cloud computing are rapidly growing industries with a vast range of solutions. The increased role of AI, and adoption of cloud services, have dramatically changed the security landscape for customers, making cybersecurity increasingly important in defending against emergent risks and protecting national security.

Wiz delivers an easy-to-use security platform that connects to all major clouds and code environments to help prevent cybersecurity incidents. Organizations of all sizes — from start-ups and large enterprises to governments and public sector organizations — can use Wiz to protect everything they build and run in the cloud. Wiz is an innovative leader and continues to deliver new products with strong adoption, fueling rapid business growth, including over the last 12 months in which it has begun to deliver new categories of cybersecurity solutions.

Google Cloud is a leader in cloud infrastructure, with deep AI expertise and a track record of industry-leading security innovation. Bringing all this to Wiz will help make their solutions even better and more scalable, benefiting customers and partners across all major clouds. The combination of Google Cloud and Wiz will:

• Vastly improve how security is designed, operated and automated — providing an end-to-end security platform for customers, of all types and sizes, in the AI era;
• Scale cybersecurity teams by providing them an automated security platform;
• Lower customers' cost of implementing and managing security controls;
• Protect against new threats emerging due to the advancement of AI, prevent breaches, and help organizations respond to breaches much more efficiently; and
• Boost the adoption of multicloud security and, as a result, customers' ability to use multiple clouds; further spurring innovation in and the adoption of cloud computing.

Wiz's products will continue to work and be available across all major clouds, including Amazon Web Services, Microsoft Azure, and Oracle Cloud platforms, and will be offered to customers through an array of partner security solutions. Google Cloud will also continue to offer customers wide choice through a variety of partner security solutions available in the Google Cloud Marketplace.

You can read more technical details about Wiz's solutions, and how they will work with Google Cloud, on the Google Cloud blog and Wiz blog.

The deal is subject to customary closing conditions including regulatory approvals.

Webcast
Alphabet Inc. (NASDAQ: GOOG, GOOGL) will host a webcast to discuss this announcement on Tuesday, March 18, at 6:00am Pacific Time (9:00am Eastern Time). Sundar Pichai, CEO, Google and Alphabet; Thomas Kurian, CEO, Google Cloud; Assaf Rappaport, CEO, Wiz; and Anat Ashkenazi, CFO, Google and Alphabet, will discuss the transaction.

The webcast can be accessed here: https://www.youtube.com/live/8jY5YBSRVEU. A replay will be available for two weeks through the same link following the webcast.

Quotes
Sundar Pichai, CEO, Google: "From its earliest days, Google's strong security focus has made us a leader in keeping people safe online. Today, businesses and governments that run in the cloud are looking for even stronger security solutions, and greater choice in cloud computing providers. Together, Google Cloud and Wiz will turbocharge improved cloud security and the ability to use multiple clouds."

Thomas Kurian, CEO, Google Cloud: "Google Cloud and Wiz share a joint vision to make cybersecurity more accessible and simpler to use for organizations of any size and industry. Enabling more companies to prevent cyber attacks, including in very complex business software environments, will help organizations minimize the cost, disruption and hassle caused by cybersecurity incidents."

Assaf Rappaport, Co-Founder & CEO, Wiz: "Wiz and Google Cloud are fully committed to continue supporting and protecting customers across all major clouds, helping keep them safe and secure wherever they operate. This is an exciting moment for our company, but an even more important one for customers and partners, as this acquisition will bolster our mission to improve security and prevent breaches by providing additional resources and deep AI expertise."

About Google
Google's mission is to organize the world's information and make it universally accessible and useful. Through products and platforms like Search, Maps, Gmail, Android, Google Play, Chrome and YouTube, Google plays a meaningful role in the daily lives of billions of people and has become one of the most widely-known companies in the world. Google is a subsidiary of Alphabet Inc.

About Google Cloud
Google Cloud is the new way to the cloud, providing AI, infrastructure, developer, data, security, and collaboration tools built for today and tomorrow. Google Cloud offers a powerful, fully integrated and optimized AI stack with its own planet-scale infrastructure, custom-built chips, generative AI models and development platform, as well as AI-powered applications, to help organizations transform. Customers in more than 200 countries and territories turn to Google Cloud as their trusted technology partner.

About Wiz
Wiz secures everything organizations build and run in the cloud and transforms security by enabling a new operating model. The Wiz CNAPP empowers security and development teams to rapidly identify and remove critical risks in cloud environments, so they can build fast and securely. With Wiz, organizations can prioritize risk and stay agile. Its customers include Agoda, Avery Dennison, BMW, Cushman & Wakefield, DocuSign, Mars, Plaid, Priceline, Salesforce, and Slack, among others. The company is backed by Advent, Aglaé, Andreessen Horowitz, Blackstone, Cyberstarts, Greenoaks, Greylock, Index Ventures, Insight Partners, Lightspeed, Salesforce, Sequoia, Thrive Capital, and Wellington.

Forward-Looking Statements
This release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the acquisition of Wiz by Google. These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause Alphabet Inc.'s (the "company", "we", "us" or "our") actual results to differ materially from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the risk that the closing conditions for the acquisition will not be satisfied, including the risk that the requisite regulatory approvals will not be obtained; the risk that the definitive agreement relating to the acquisition will be terminated prior to closing; the possibility that the acquisition will not be completed in the expected timeframe or at all; potential adverse effects to the businesses of the company or Wiz during the pendency of the acquisition; our ability to successfully integrate Wiz or other businesses that we may acquire in the future; our ability to achieve the benefits that we expect to realize as a result of the acquisition of Wiz; the potential negative impact on our financial condition and results of operations if we fail to achieve the benefits that we expect to realize as a result of the acquisition of Wiz or if these benefits take longer to achieve than expected; and other risks and uncertainties discussed in the reports the company has filed previously with the SEC, such as its Annual Report on Form 10-K. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements, which speak as of the respective date of this release, except as required by law. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.

 

View original content:https://www.prnewswire.com/news-releases/google-announces-agreement-to-acquire-wiz-302404500.html

SOURCE Google LLC

FAQ

How much is Google (GOOG) paying to acquire Wiz?

Google is acquiring Wiz for $32 billion in an all-cash transaction, subject to closing adjustments.

Will Wiz continue to support other cloud platforms after Google's acquisition?

Yes, Wiz will continue to work across all major cloud platforms including AWS, Microsoft Azure, and Oracle Cloud.

What are the main benefits of Google's Wiz acquisition for cloud security?

The acquisition aims to improve security design, automate security operations, lower security management costs, and enhance protection against AI-related threats.

When will Google (GOOG) complete the Wiz acquisition?

The acquisition is pending regulatory approvals and customary closing conditions, with no specific completion date announced.

How will the Wiz acquisition impact Google Cloud's multicloud strategy?

The acquisition will boost multicloud security adoption and enhance customers' ability to use multiple clouds, promoting innovation in cloud computing.