Google this week announced that it’s in the process of acquiring cloud security giant Wiz for $32 billion in cash.
The announcement came nearly a year after Wiz walked away from a $23 billion deal with Google after deciding to stick to its original plan and pursue an IPO.
Google says it’s acquiring Wiz in an effort to accelerate cloud security and multicloud use capabilities.
The companies said Wiz’s products will continue to be available across all major cloud platforms, but questions have been raised over the exact impact of the deal, and industry professionals have commented on various aspects of what is the biggest-ever cybersecurity acquisition.
For additional insights, you can also read Ryan Naraine’s analysis: What’s Behind Google’s $32 Billion Wiz Acquisition?
And the feedback begins…
Mark Kraynak, Co-founder, Partner, Acrew Capital:
“At the risk of saying something just brutally obvious, this is a big deal for the cyber security market. In fact it’s the largest deal ever. And comes not that long after the prior largest deal ever (Cisco/Splunk announced a year ago).
From an overall cyber security perspective, it probably signals that what used to be almost unthinkably big mega deals are likely to be the new normal. From an investor standpoint, that’s a good thing, because I believe the IPO market is closed for all but the bravest (most foolhardy?) companies until we see more stability.
From a regulatory standpoint, this is going to be a test of the DOJs ongoing antitrust case against Google and the prior administration’s overt hostility to big tech M&A. A lot of software companies, not just cyber security companies, will be watching with great interest.
More specifically, it changes the structure of the cloud security market. A formerly independent and relatively dominant player is now a part of one of the big cloud platforms. There’s a lot of speculation as to what that will mean, ranging from Google will continue the path of neutrality to a belief that Wiz’s neutrality is now dead. Only time will tell, but if past patterns repeat, it will be an opportunity for a new neutral player to rise and a lot of the existing Wiz competitors are probably pretty happy about that opportunity.”
Shai Morag, Chief Product Officer, Tenable:
“This marks the end of Wiz’s independence and the neutrality its customers have come to expect when using any of the major cloud service provider platforms. When a security vendor is owned by a cloud provider, the lines can quickly become blurred and product decisions can start to favor one platform at the expense of all others. Neutrality becomes nearly impossible and the risk of competitive conflict is off the charts.
Independent and cloud-agnostic security providers need only focus on protecting their customers’ cloud and hybrid environments, regardless of what platform or platforms they use. This deal is indeed a fundamental shift in the cloud security marketplace, and Wiz customers should closely monitor any changes it brings.”
Itamar Sher, CEO, Seal Security:
“Wiz was the symbol of the #MeanStartup. VCs invest a lot of money upfront to fuel aggressive growth momentum that can disrupt industries with strong incumbents.
Having worked with one of the co-founders in the past, I can attest that the hype was justified in their case. Google bought a once-in-a-generation company. Now everyone is watching if they can leverage its potential at Google’s scale like they did with YouTube or if they blunder it.
I think the key to this acquisition’s success will be Google’s willingness to keep Wiz an independent organization like it did with YouTube. If they can build on Wiz’s product strength in multi-cloud environments without making it GCP-focused, Google can become a dominant player in the cybersecurity industry.”
Parth Shah, Senior Director Product Management, Deepwatch:
“Google has been playing catch up on security against AWS and Azure. There’s no way to justify the valuation purely by revenue numbers, it is likely the intangibles and strategies at play.
Google has now spent close to $40B trying to become a security player. This is a serious vertical for them – likely changing the shape of the company forever. Wiz nailed usability and had a maniacal focus on sales – $100M in 18 months, $350M in 2024, and an estimated $700M at acquisition.”
Rob Gurzeev, CEO, CyCognito:
“Google’s bet is on quality here – not just checking a box as some large players do, but investing in a solution trusted and valued by the security community. With recent breaches, SEC pressure, and ongoing trials, risk leaders need solutions that actually work. Big brands delivering empty promises are seen as problematic today, and security executives are more critical than ever. They demand substance, not security theater. That’s why Google’s move makes perfect sense – they’re responding to the market’s demand for tools with proven efficacy rather than just flashy marketing. By acquiring technology that practitioners respect, Google addresses the real concerns of today’s discerning CISOs who prioritize genuine security over compliance checkbox exercises.
This acquisition signals cloud growth in its purest form. Companies are going deeper and deeper into the cloud and they’re spread across multiple vendors and dozens of SaaS platforms. Their assets, data, and applications are fragmented across these environments, creating massive security blind spots. The fast rise of AI is also adding extra risk and accelerating threats. Wiz gained traction precisely because it solved this visibility problem across cloud boundaries. Google’s bold move shows they understand that securing these complex environments is essential to customers. They also understand that it’s critical to staying competitive with AWS and Azure, who have both been aggressively expanding their security capabilities through acquisitions and internal development.”
Eric Schwake, Director of Cybersecurity Strategy, Salt Security:
“Google’s acquisition of Wiz presents several advantages, particularly an improved security platform for Google Cloud clients, featuring integrated functionalities and ongoing multi-cloud support that may foster innovation. Conversely, drawbacks include diminished competition, concerns regarding vendor lock-in despite Google’s commitments, challenges in integration, the risk of hindering Wiz’s independent innovation, and heightened data privacy issues resulting from increased data consolidation.
Wiz joining Google Cloud marks a significant consolidation in the cybersecurity sector, enhancing Google Cloud’s security services. With Wiz and Mandiant now part of its portfolio, Google strengthens its role as a leading security provider, particularly in cloud security. This development highlights the rising significance of cloud security and the growing need for multi-cloud solutions. For Google Cloud clients, it offers a more powerful and unified security platform, improving their security operations.
This acquisition has the potential to accelerate the development of cutting-edge cloud security features by utilizing Google’s AI and infrastructure. A major advantage is Google’s dedication to preserving Wiz’s multi-cloud compatibility, which guarantees flexibility for customers and helps avoid vendor lock-in. However, consolidation may occasionally hinder innovation; yet, Google’s expressed commitment to partner solutions indicates an intention to address this concern. Additionally, this move might result in reduced competition within the cloud security sector.”
Heath Renfrow, CISO, Co-founder, Fenix24:
“Google’s $32 billion acquisition of Wiz is a significant move in the cloud security space, underscoring the growing demand for consolidated security platforms and multicloud protection. This deal reinforces the broader industry trend where hyperscalers are integrating leading security technologies to enhance their native capabilities, much like Microsoft’s approach with its security stack and AWS’s ongoing investments in cybersecurity.
From an industry perspective, this acquisition raises important questions: Will Wiz maintain its platform-agnostic approach under Google, or will it become more tightly integrated into Google Cloud’s ecosystem? Additionally, how will this impact organizations that rely on Wiz’s solutions for securing non-Google environments? It’s also worth considering how this affects other cloud security players—especially startups that positioned themselves as alternatives to hyperscaler-native security solutions.
For security teams and enterprises, this acquisition further emphasizes the importance of vendor diversification, ensuring that security strategies remain resilient even as market consolidations continue.”
Ariel Litmanovich, CTO, Co-founder, Aryon Security:
“This acquisition creates opportunities from all angles. For Google, it strengthens its position as a leading global security player. For customers, many will question whether to continue using Wiz now that it’s part of Google, especially those primarily working with Microsoft and Amazon. This shift could create a significant vacuum in the market, opening up opportunities for acquisitions and growth among other cloud security players. A relevant example is Microsoft Defender for Cloud—a great multi-cloud security product, yet most of its customers are still Microsoft-centric.
For cloud providers and other major cloud players, they have two main strategic options: 1) compete directly with Wiz; 2) leverage their strengths and dominate other cloud security areas, positioning themselves as leading platforms. For example, focusing more on prevention of security issues rather than visibility and remediation.”
Shauli Rozen, CEO, Co-founder, ARMO:
“The future of cloud security is runtime – to collect runtime data for better and more efficient posture management and real-time threat detection and response. Wiz started to expand into this space (Wiz Defend) but are far from providing a complete solution for runtime. The big question is – will its acquisition by Google accelerate this process or delay it? Now, there is a big opportunity for smaller runtime security startups to capture in the short run, and we are seeing significant demand from companies looking for cloud runtime security solutions based on technologies like eBPF that can complement their Wiz solution.
Wiz is an amazing company and its rapid rise and astronomical exit shows that cloud security is the hottest market in cybersecurity right now. Yet again, the cyber ecosystem in Israel demonstrates how its innovation is a leading driver for the success of cybersecurity globally.”
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