Google’s parent company, Alphabet, is reportedly nearing a monumental acquisition, potentially the largest in its history. According to The Wall Street Journal, Google is negotiating to purchase the cybersecurity firm Wiz for a staggering $23 billion. This acquisition would eclipse Google’s previous record deal, the $12.5 billion purchase of Motorola Mobility in 2012.
Wiz, founded in 2020, has quickly established itself as a cybersecurity leader, focusing on cloud system protection. The business discovered severe security holes in big companies, including a notable vulnerability in Microsoft’s Bing search engine that may have allowed hackers to access personal information and manipulate search results. Since its establishment, Wiz has raised $1.9 billion from investors, bringing its valuation to $12 billion as of May 2023.
The acquisition of Viz is not always the simplest and critical economic move but also a strategic move for Google, strengthening its cloud safety abilities. This comes at a time when cybersecurity threats are getting extra state-of-the-art, and organizations are seeking out extra strong answers to protect their statistics.
Let’s take an example to understand the importance of this protection. Imagine your cloud data as a box of valuables. Wiz is like a high-tech security system that stops thieves (hackers) from stealing or messing with your valuables (cloud data). By buying Wiz, Google wants to improve this security, making sure their valuables (cloud data) stay safe from even the cleverest thieves.
However, this deal is likely to draw scrutiny from antitrust regulators in the US and the past, elevating questions about marketplace competition and monopolistic practices. The final results of these negotiations could drastically affect the future panorama of the cybersecurity enterprise.
