Alphabet to acquire cybersecurity startup Wiz for $32 billion, enhancing cloud security capabilities

From Nasdaq: 2025-03-27 16:26:00

Alphabet GOOGL shares remain steady after announcing the $32 billion acquisition of cybersecurity startup Wiz. The deal, expected to close next year, would bolster Alphabet’s cloud security capabilities. Wiz, founded in 2020, achieved $100 million in ARR in 18 months and has a private market valuation of $12 billion.

Google Cloud, Alphabet’s fastest-growing segment, saw revenue rise 30% in the last quarter to $11.95 billion. Operating income soared 142%, and Google Cloud accounted for 12% of Alphabet’s revenue in 2024. The acquisition of Wiz could further enhance Alphabet’s position in the cloud computing sector.

Alphabet’s stock currently holds a Zacks Rank #3. Despite market volatility, expectations of double-digit growth in fiscal years 2025 and 2026 are encouraging for investors. The acquisition of Wiz could prove beneficial in navigating the competitive landscape of cloud computing, cybersecurity, and AI configuration, supporting Alphabet’s long-term growth strategy.



Read more at Nasdaq: M&A Watch: Buy Alphabet Stock Amid Plans to Acquire Cybersecurity Startup WIZ?