phabet is under discussion with Israeli cybersecurity company Wiz with an offer of more than $30 billion, reported a source familiar with the matter.
This potential acquisition marks the point of the largest potential acquisition made by Google’s parent company.
However, Alphabet’s latest offer is also higher by roughly a third of the $23 billion deal that was offered last year. Yet Wiz called it off in July 2024 on concerns it would not clear antitrust hurdles.
However, Wiz announced in an internal announcement that the company was focusing on an initial public offering at the time. The company did not reply immediately to a request for comment. The deal between the two of them has not yet been signed and could still change, also added the person that is familiar with the matter, reported Reuters.
This deal with the cybersecurity business would mean that Alphabet has an opening in a forfeting industry, helping them expand the growing cloud infrastructure that generated more than $43 billion in revenue last year.
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While President Donald Trump’s administration is largely expected to drop some antitrust policies pursued under the administration of President Joe Biden a deal that creates a cybersecurity giant is still more likely to draw scrutiny.
However, Wall Street was also expecting a bump in dealmaking after Trump’s election, yet the tariffs he has imposed or threatened have roiled global markets and left businesses as well as investors uncertain regarding big decisions.
Wiz provides cloud-based cybersecurity solutions that are powered by artificial intelligence, helping companies identify and remove critical risks on cloud platforms. It also works with multiple cloud providers such as Microsoft and Amazon, counting companies ranging from Morgan Stanley to DocuSign and other customers. The Israeli company has over 900 employees all across the US, Europe, Asia, and Israel, have previously mentioned that they are looking to add 400 workers globally in 2024.
However, interest in the cybersecurity industry has also burst since the global CrwodStrike outage happened last year, raising concerns among enterprises when it comes to the protection of their digital infrastructure.
