Google’s parent company Alphabet has confirmed its acquisition of Israeli cybersecurity firm Wiz for a staggering $32 billion, marking its largest acquisition to date. This historic deal, announced on March 18, 2025, also stands as the biggest ever for an Israeli company, representing not only a strategic investment for Google Cloud but also setting the bar for future tech acquisitions.
Wiz, founded just three years ago by Assaf Rappaport, Ami Luttwak, Yinon Costica, and Roy Reznik, has quickly grown to become one of Israel's most successful tech startups. The company has reached remarkable milestones, achieving annual revenues exceeding $500 million following substantial investments which have raised over $1.8 billion, including its last funding round which closed at $12 billion last year.
Upon completion of the acquisition, Wiz is set to become part of Google Cloud, with Rappaport expected to lead what will be known as "Google Security," focused solely on cybersecurity solutions. Notably, Wiz will maintain its independence within Alphabet, similar to the structure of LinkedIn under Microsoft. This operational autonomy allows Wiz to continue serving clients across all major cloud platforms, including Google’s competitors, such as Microsoft and Amazon.
“This acquisition should accelerate two large and growing trends in the AI era: improved cloud security and the ability to use multiple clouds,” stated Google’s official announcement, emphasizing the shift toward demanding security solutions amid increasing cybersecurity threats.
Sundar Pichai, CEO of Google, elaborated, stating, “Together, Google Cloud and Wiz will turbocharge improved cloud security and the ability to use multiple clouds.” The integration of Wiz’s innovative platforms promises to upgrade Google’s security offerings, ensuring enterprises can effectively identify and mitigate vulnerabilities across their cloud infrastructures.
The acquisition not only marks financial achievement for Googgle but also speaks volumes on the international stage about Israel's technological prowess, especially during challenging times. Since the previous rejected offer for $23 billion last year, concerns over antitrust regulations had prompted Wiz to opt for independence; nonetheless, the latest negotiations resulted in major concessions favorable to both parties.
With this acquisition, the founders will benefit substantially, each projected to net around $3.2 billion from the deal, contributing to what has been dubbed the “decacorn” status of Wiz. Tax obligations for each founder are also significant, with estimates indicating contributions upwards of $640 million per individual due to Israeli capital gains taxes.
Prior to Wiz's rapid growth, co-founder Assaf Rappaport had garnered attention as the former General Manager of R&D at Microsoft Israel after his previous venture, Adallom, was sold to the tech giant for $320 million. His leadership continues to draw from prior collaborations with his co-founders, who played pivotal roles at Adallom and have remained together since their military service days.
Ahead of the official announcement, Wiz has maintained aggressive growth plans, even hiring their first CFO just two months ago, signaling intentions for future expansions. Industry insiders cite this move toward acquisition as strategic, enabling Wiz to stabilize operational independence under Alphabet’s umbrella.
Last week, the company celebrated its success with an extravagant Purim party, showcasing growth and morale within the organization. Sources indicate the firm’s plans to hire even more employees to support its growing operations, rather than implement cutbacks typically seen during acquisitions.
Overall, the acquisition of Wiz positions Google as a formidable player amid turbulent cybersecurity landscapes, highlighting the necessity for businesses to invest significantly in securing their cloud environments. This noteworthy synergy between innovation and strategic investments is likely to shape the tech industry’s response to rising digital threats, reflecting how acquisitions are increasingly becoming tools for tech giants to bolster competitive advantages.
Now, with the completion of this historic deal on the horizon, industry experts are watching closely to see how it will affect the competitive dynamics within the cloud computing and cybersecurity markets. Following the acquisition, Alphabet’s resources could potentially provide Wiz with the leverage needed to attract new clientele and bolster services across diverse platforms.
Through this acquisition, Google not only enhances its security offerings but also reinforces its commitment to safeguarding cloud operations globally. For Wiz’s co-founders and employees, it marks the culmination of significant achievement, possessing the potential for continued growth and innovation within the ever-evolving tech sphere.
