Google announced on Tuesday its plans to acquire cloud security platform Wiz in a $32 billion all-cash deal, emphasizing the growing importance of cybersecurity as artificial intelligence becomes more embedded in technology infrastructure.
The acquisition will integrate Wiz into Google Cloud, enhancing security capabilities for businesses using multiple cloud platforms. In a joint statement, both companies highlighted the increasing significance of cybersecurity in mitigating emerging risks and safeguarding national security in the AI era.
This transaction marks Google’s largest acquisition to date and will test U.S. President Donald Trump’s stance on major corporate takeovers, following the more cautious approach of his predecessor, Joe Biden.
Alphabet had previously considered acquiring Wiz last summer, but the company opted to remain independent, exploring the possibility of an initial public offering. Wiz CEO Assaf Rappaport, who co-founded the company in 2020 along with a team that previously sold a venture to Microsoft, shared this decision in a message to employees at the time.
Headquartered in New York, with offices in three other U.S. cities and Tel Aviv, Wiz provides continuous real-time scanning of an organization’s code and cloud environments, prioritizing critical risks and blocking active threats, Rappaport explained in a webcast following the deal’s announcement.
Post-acquisition, Wiz will operate under Google while continuing to serve clients such as Amazon Web Services and Microsoft Azure—similar to Google’s earlier acquisition of cybersecurity firm Mandiant, according to Google Cloud CEO Thomas Kurian.
Kurian stated, “With Wiz, we believe we will significantly enhance how security is designed, operated, and automated, delivering a comprehensive security platform that helps customers prevent, detect, and respond to threats across all major cloud environments.”
Google Cloud has experienced substantial growth, generating over $43 billion in revenue in 2024—a nearly 31% increase from the previous year.
Wedbush analyst Dan Ives suggested that this acquisition could signal the start of a new wave of mergers and acquisitions in the tech industry, particularly with the departure of Lina Khan, the former Federal Trade Commission chair known for her scrutiny of big tech deals.
“The M&A landscape has been relatively quiet so far this year, but this deal could pave the way for a surge in tech industry consolidation,” Ives noted, adding that the cybersecurity sector is especially well-positioned for such activity as companies seek to expand their cloud security offerings.
Following the announcement, shares of Alphabet fell 3.8% in morning trading.