Google’s parent company, Alphabet, is set to acquire the cybersecurity firm Wiz for $32 billion, a move aimed at strengthening its cloud computing services as artificial intelligence continues to grow. This deal, announced on Tuesday, will be Google’s largest acquisition ever, surpassing its 25-year history.
The purchase is expected to provide Google with a significant boost in its cloud business by enhancing the security of its services. Assaf Rappaport, CEO of Wiz, expressed in a blog post that both Wiz and Google Cloud share the vision of making cloud security more accessible, intelligent, and easier to use, enabling more organizations to securely adopt cloud and AI technologies.
With this acquisition, Wiz will become part of Google Cloud, marking a strategic investment to accelerate two key trends in the AI era: better cloud security and the ability to leverage multiple cloud platforms.
Google CEO Sundar Pichai stated that the combination of Google Cloud and Wiz will significantly enhance cloud security and enable more effective use of multiple cloud platforms.
Assaf Rappaport, Co-Founder and CEO of Wiz, mentioned that the acquisition will strengthen the company’s mission to enhance security and prevent breaches by providing additional resources and expertise in AI.
Founded in 2020 and based in New York, Wiz develops security tools designed to protect data stored in remote data centers from cyber threats.
Google has been interested in Wiz for a while. The $32 billion acquisition announced on Tuesday exceeds a previous $23 billion offer that Wiz turned down last July.
The deal will undergo scrutiny from antitrust regulators. While the current administration may be more business-friendly, there remains a cautious stance towards big tech. Additionally, new Federal Trade Commission Chair Andrew Ferguson has pledged to continue a rigorous review process for mergers and acquisitions.