Google buys cybersecurity firm Wiz for $32 billion: Here are other big acquisitions by Alphabet

Google’s parent company Alphabet will be acquiring cybersecurity startup Wiz for $32 billion. This is Alphabet’s largest-ever deal as it seeks to enhance cloud computing security. The price of the acquisition, announced on Tuesday, is significantly higher than the $23 billion Google had initially offered for Wiz in 2023.

The all-cash acquisition is expected to strengthen Google Cloud’s security capabilities against rivals Amazon Web Services and Microsoft Azure. The 2023 deal had fallen through over antitrust concerns. This led the cybersecurity startup to shift its focus towards an initial public offering (IPO) and boosting recurring revenue. However, with shifting regulatory policies and Wall Street’s optimism about a more business-friendly environment under Donald Trump, Google successfully revived and completed the deal.

Why did Google acquire Wiz?

A Reuters report stated that Wiz is one of the fastest-growing software startups which was valued at $12 billion in a funding round last May. The company offers AI-driven cloud security solutions. This helps businesses detect and mitigate cyber threats.


Interest in cybersecurity has skyrocketed since the CrowdStrike outage last year, which affected operations across industries. Businesses have been heavily investing in securing their digital assets which makes Wiz a valuable addition to Google. The company previously acquired Mandiant for $5.4 billion in 2022, outbidding Microsoft. The Wiz acquisition only cements its position in the cybersecurity sector.

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The impact of Google buying Wiz

In spite of the strategic significance of the deal, Google’s shares dipped slightly in premarket trading, the Reuters report stated. According to the report, the stock had seen a solid gain of nearly 35 per cent in 2023. However, it has dropped by 13 per cent this year. This has largely been attributed to the company’s substantial investments in AI, especially after the emergence of low-cost competitor—DeepSeek.

Once the deal concludes in 2026, Wiz will become a part of Google Cloud but still offer its services on other major cloud platforms like Amazon Web Services, Microsoft Azure, and Oracle Cloud. The firm currently caters to high-profile clients like Morgan Stanley, BMW, and LVMH.

Companies Alphabet has acquired so far

Alphabet has acquired over 200 companies so far to enhance its technological capabilities and market presence. Back in 2006, Google made a game-changing move and acquired YouTube for a whopping $1.65 billion and turned it into a powerhouse for video-sharing platforms. It also made the platform a significant player in the advertising world. In 2007, they acquired DoubleClick for $3.1 billion which brought in cutting-edge display advertising technology and completely transformed Google’s ad business.

By purchasing Motorola Mobility for $12.5 billion in 2012 to improve its mobile device line, Google solidified its position in the hardware industry. By acquiring Waze for $966 million in 2013 and using real-time, user-generated navigation data, the tech giant greatly advanced its mapping capabilities. Alphabet’s acquisition of Nest Labs in 2014 for $3.2 billion confirmed its foray into the intelligent home sector and brought about creative goods like smart thermostats and smoke detection.

Alphabet has been on a roll lately, moving into cybersecurity, health tech, and cloud computing. Enhancing its cloud services was the 2016 purchase of Apigee—$625 million—in a strong API management solution.

Finally, in 2020, Alphabet included Looker in its assets for $2.6 billion dollars, which improved its business intelligence and analytics capacity. The company’s purchase of Fitbit in 2021 for $2.1 billion made obvious their venture into wearable technologies and helped to strengthen their position in health tracking.

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FAQs

1. Why is Google acquiring Wiz?
   

Google is acquiring Wiz to enhance its cybersecurity offerings within its cloud computing services.

2 What happens to Wiz after the acquisition?
Wiz will join Google Cloud but will still provide its services across all major clouds, including AWS and Microsoft Azure.