Even for a giant like Google, the figure is staggering. Alphabet, the parent company of the tech titan, is in advanced discussions to acquire cybersecurity startup Wiz, according to sources cited by The Wall Street Journal on Sunday. The deal is estimated to be worth a whopping $23 billion.
Wiz, based in New York, was valued at $12 billion during a fundraising round in May, which attracted investors such as Andreessen Horowitz, Lightspeed Venture Partners, and Thrive Capital. This round brought in $1 billion for the company.
Founded in 2020, Wiz has quickly built a reputation for its ability to identify and eliminate cyber threats in cloud environments. After just 18 months in operation, the company reported annual revenues of $100 million. This figure soared to $350 million in 2023.
Catching Up with Amazon
If finalized, this deal would mark Alphabet’s largest acquisition to date and one of the most significant in the history of the American tech industry, according to the Wall Street Journal. Sources suggest the agreement could be concluded soon. Alphabet has declined to comment on the matter.
This potential acquisition follows Alphabet’s purchase of Mandiant, another cybersecurity firm, for $5.4 billion in 2022, which was one of its largest acquisitions at the time.
The acquisition of Wiz could significantly bolster Alphabet’s cloud efforts, an area where it currently lags behind competitors, particularly Amazon. Amazon’s technological advancements have recently propelled it past the $2 trillion market capitalization mark.
As these developments unfold, it will be interesting to see how this acquisition impacts the competitive landscape in the cloud and cybersecurity sectors.
My name is Noah and I’m a dedicated member of the “Jason Deegan” team. With my passion for technology, I strive to bring you the latest and most exciting news in the world of high-tech.