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Google Considers Acquisition of Israeli Startup Wiz – www.israelhayom.com

Posted on by darion

Google is reportedly considering its biggest startup acquisition yet, planning to buy Israeli cloud cybersecurity firm Wiz for an estimated $23 billion. Wall Street Journal. If the potential deal goes through, it would significantly expand Google’s presence in the enterprise security sector.

Edge reports that New York-based Wiz specializes in providing “isolated security tools and scanners” for enterprise customers. The company’s technology creates a “standardization layer between cloud environments,” allowing companies to quickly identify and resolve critical security threats across their cloud infrastructure. The potential deal comes at a time when competitor Microsoft has been dealing with several high-profile security breaches, potentially giving Google the opportunity to position itself as a more secure alternative in the cloud services market.

The acquisition, which would eclipse Google’s previous record-breaking $12.5 billion purchase of Motorola Mobility in 2012, appears to be driven by Google Cloud CEO Thomas Kurian. The acquisition of Wiz would follow Google’s recent investments in cybersecurity, including a $500 million purchase of another cloud security startup in 2022 and a $5.4 billion acquisition of Mandiant, the company that uncovered the SolarWinds attack. New York Times cites Kurian as the primary culprit behind the takeover, suggesting the move is part of a broader strategy to bolster Google’s reputation as a secure cloud platform provider.

While sources suggest a deal “looks likely,” according to Times, It’s not without potential obstacles. Google’s hefty price tag and market power could prompt scrutiny from U.S. regulators, especially given the Biden administration’s increased focus on antitrust enforcement in the tech sector. The Justice Department has already filed a lawsuit over Google’s search deal with Apple, and the Federal Trade Commission recently tried to block Microsoft’s acquisition of Activision, underscoring the current regulatory climate for big tech acquisitions.