Why Wiz acquisition could be a major test
If through, the deal would be a major test for antitrust regulators, who have been increasingly scrutinizing acquisitions by tech giants in recent years. Alphabet’s last major acquisition was the $12.5 billion purchase of Motorola Mobility over a decade ago
The acquisition of Wiz would represent a significant push into cybersecurity for Alphabet, following its $5.4 billion acquisition of Mandiant two years ago.
Meet Wiz, the US-Israeli startup
Founded in 2020 and headquartered in New York, Wiz has raised about $2 billion from investors. The company, led by Israeli founder and former Microsoft executive Assaf Rappaport, was most recently valued at $12 billion. Its backers include venture capital firms Sequoia and Thrive. Wiz has research and development facilities in Tel Aviv.
Wiz helps companies secure their cloud programs, which has become increasingly important as businesses move their software and data storage online. The company has reportedly reached $350 million in annual recurring revenue.
A deal to acquire Wiz would be one of the largest acquisitions of a venture capital-backed company ever.
Wiz declined to comment on the talks, while Google did not respond to a request for comment. The talks between Alphabet and Wiz come after the technology giant recently decided not to pursue a takeover of online marketing software company HubSpot, as reported by Reuters earlier this month.
