Alphabet set to acquire Wiz for $33B
Alphabet Inc., the parent company of Google, is negotiating to buy cloud-security firm Wiz for more than $33 billion, a possible record deal. This move is trying to make Google more competitive in the cloud-computing market, where it lags behind Microsoft and Amazon.
Wiz, established in 2020, offers cloud-based, AI-powered cybersecurity technology and has rapidly become a significant player in the field. The company partners with leading cloud providers like Microsoft, Amazon, and Google, and their customers consist of Morgan Stanley and DocuSign.
Earlier talks of the acquisition of Wiz by Alphabet last year were at a $23 billion proposal that was rejected over regulatory issues and other issues. The new talks at an increased valuation indicate Alphabet’s strategic intent to enhance cloud security features.
If finalized, the deal would surpass Alphabet’s then-largest deal, the $12.5 billion acquisition of Motorola Mobility in 2012. The potential deal could be subject to regulatory scrutiny, especially considering Alphabet’s current antitrust challenges in its search and advertising businesses.
The takeover emphasizes the increasing necessity of robust cybersecurity practices, particularly in the wake of significant events like last year’s worldwide CrowdStrike outage that heightened enterprise worries over securing their digital infrastructures.
