Google has signed a definitive agreement to acquire Wiz, a New York-based cloud security startup, for $32 billion in an all-cash transaction. The deal, Google’s largest acquisition to date, is expected to close in 2026, pending regulatory approvals.
Strategic move for Google Cloud
Wiz provides a cloud security platform that integrates with Amazon Web Services (AWS), Microsoft Azure, and Oracle Cloud, helping businesses detect and prevent cyber threats. Google Cloud plans to leverage Wiz’s technology to enhance its security offerings and expand its multicloud capabilities, allowing customers to operate securely across multiple cloud providers.
“Together, Google Cloud and Wiz will turbocharge improved cloud security and the ability to use multiple clouds,” said Sundar Pichai, CEO of Google’s parent company Alphabet.
The acquisition aligns with Google Cloud’s strategy to compete with Microsoft and Amazon in the cloud market while addressing increasing security risks in the AI-driven era.
Wiz’s rapid growth and market impact
Founded in 2020 by former Israeli intelligence officers, Wiz has grown rapidly, reaching $750 million in annual revenue and serving major clients such as BMW, Salesforce, and Slack. The company had previously walked away from a $23 billion offer from Google in 2024, opting to explore an IPO instead. However, the sluggish IPO market and changing regulatory landscape under President Donald Trump likely influenced its decision to proceed with an acquisition.
“This is an exciting moment for our company, but an even more important one for customers and partners,” said Assaf Rappaport, CEO of Wiz.
Regulatory and competitive challenges
The deal comes amid heightened antitrust scrutiny in the U.S., with regulators closely monitoring Big Tech acquisitions. Google has agreed to pay a $3.2 billion termination fee if the deal fails due to regulatory hurdles.
The acquisition also signals Google’s intent to close the gap with competitors in cloud security. Microsoft, which has aggressively expanded its security software business, and AWS, which dominates cloud infrastructure, have forced Google to invest heavily in cybersecurity to remain competitive.
Google’s biggest acquisition yet
The $32 billion deal surpasses Google’s previous largest purchase—its $12.5 billion acquisition of Motorola Mobility in 2012. It also follows Google’s $5.4 billion acquisition of cybersecurity firm Mandiant in 2022, highlighting its commitment to expanding cloud security capabilities.
The deal is expected to close in 2026, pending regulatory approvals, with Wiz continuing to operate independently while integrating into Google Cloud’s security ecosystem.
