Google is making a significant move to strengthen its position in the field of cybersecurity by acquiring the Israeli startup Wiz. The deal, valued at approximately $23 billion, would mark Google's largest acquisition to date. Wiz, known for its innovative cloud-based cybersecurity solutions, offers real-time threat detection and AI-driven responses, making it a valuable asset for Google Cloud's security offerings.
Founded in 2020 by veterans of Israel's Unit 8200, including Assaf Rappaport, Ami Lutbek, Yanon Kostica, and Ehud Shander, Wiz has quickly become one of the fastest-growing software companies globally. The company has raised $900 million to date and was recently valued at $10 billion. Its technology provides a comprehensive security solution that scans all layers of the cloud environment, from network infrastructure to application code, identifying vulnerabilities and risks.
The acquisition aligns with Google's strategy to enhance its cloud services and compete more effectively with industry leaders like Amazon and Microsoft. Google Cloud CEO Thomas Kurian is reportedly the driving force behind the acquisition, which aims to bolster Google's reputation as a secure cloud platform. Wiz's ability to support all types of clouds gives Google a competitive edge in the cybersecurity market.
However, the deal is not without challenges. It is subject to potential antitrust reviews by US regulators, given the Biden administration's focus on antitrust actions against tech giants. Google is already facing lawsuits from the Department of Justice and other regulatory bodies concerning its dominant position in online search and digital advertising tools.
Despite these hurdles, the acquisition of Wiz could significantly enhance Google's cloud security offerings and help it close the gap with its competitors. Wiz's innovative technology and rapid growth make it a highly attractive acquisition target. If the deal goes through, it will not only be Google's biggest acquisition but also the largest exit in the history of Israeli high-tech.
- Wiz's comprehensive cloud security platform enables development and security teams to locate, assess, and address potential risks in their cloud environment. The technology scans the cloud environment through APIs and deeply analyzes all resources, including network configuration, access permissions, and possible vulnerabilities. This in-depth analysis provides a clear and accurate picture of the most significant risks, allowing teams to prioritize risk management effectively.
- The acquisition of Wiz is seen as a strategic move for Google to enhance its cloud services and compete more effectively with Amazon and Microsoft. Wiz's support for all types of clouds is a significant advantage that sets it apart from its competitors. However, Google will need to navigate various legal issues, including a patent infringement lawsuit against Orca Security, a prominent competitor in the field.
- Wiz's founders, Assaf Rappaport, Ami Lutbek, Yanon Kostica, and Ehud Shander, are well-known figures in the Israeli high-tech industry. Rappaport, who serves as the company's CEO, has a track record of success, having previously founded the cyber company Adallom, which was sold to Microsoft in 2015 for $320 million. The founders' success continued with Wiz, which has quickly become one of the most promising startups in the cybersecurity market.
- In addition to its innovative technology, Wiz has achieved impressive financial milestones. The company has reached a sales volume (ARR) of $350 million and aims to reach $1 billion in sales. It currently employs about 900 people and plans to recruit approximately 400 more in Israel, the USA, and other countries in the coming year. These achievements highlight Wiz's rapid growth and its potential to significantly impact Google's cloud security offerings.
