Google is close to the biggest deal in history

If approved by the regulator, Google could acquire cybersecurity startup Wiz for $23 billion.

Google is close to the biggest deal in history

Google logo. Photo: Bloomberg.

The New York Times source said that Alphabet, Google’s parent company, is negotiating to acquire Wiz, a New York-based cybersecurity startup (US) for $23 billion. If the information is correct, this will be Google’s largest acquisition, double the record acquisition of Motorola Mobility in 2012.

Based on rumors, the two sides are likely to reach an agreement, but it could still fall apart if stopped by the authorities. However, Google is ready to “counterattack” to increase the strength of its cloud services division, which is lagging behind competitors such as Amazon Web Services and Microsoft Azure.

Previously, Google was sued by the US Department of Justice in 2 antitrust cases, targeting the Google Search search engine and advertising business. The final ruling is expected to be handed down this year.

Under President Joe Biden, the U.S. government has taken a tough stance on technology acquisitions and business mergers in general.

U.S. regulators have blocked book publisher Penguin Random House from acquiring rival Simon & Schuster for $2.18 billion, and JetBlue from acquiring Spirit Airlines for $3.8 billion. Amazon also gave up on acquiring iRobot, while Microsoft struggled to acquire the gaming company Activision after winning a lawsuit against the US Federal Trade Commission (FTC).

Google has many businesses. In addition to online advertising, search services, YouTube and some platforms still contribute three-quarters of total revenue. The acquisition of Wiz may not have immediate results, but in the long run it will create a connection between Google Cloud and companies that use Wiz to protect data.

According to Bloomberg, the negotiations took place shortly after Alphabet abandoned its bid to acquire customer relationship management company HubSpot. Similar to HubSpot, a large acquisition like Wiz is unusual for a company as large as Alphabet, which is closely monitored by antitrust agencies.

Less than two years after acquiring Motorola’s mobile business for $12.5 billion, Google suffered a loss and sold it to Lenovo. In 2021, Google paid $2.1 billion to buy Fitbit, a deal that faced close scrutiny before it was approved.

For the cloud services segment, Google acquired cybersecurity company Mandiant in 2022 for $5.4 billion. That same year, the company acquired Siemmplify and another cybersecurity business.

Wiz was founded in 2020 in Israel. In May, the startup said it had raised $1 billion in funding, valued at $12 billion. Earlier this year, Wiz announced its latest annual revenue of $350 million, up sharply from $100 million two years ago.

Internal sources said that Thomas Kurian, CEO of Google Cloud, represented the negotiations to acquire Wiz, with the goal of making cybersecurity an advantage for Google Cloud. Some of Wiz’s prominent customers include BMW, Slack, and Morgan Stanley.

Click to rate this post!
[Total: 0 Average: 0]
This entry was posted in News and tagged .
Most Viewed

Tips

How to Clean Your Computer: Optimize Your PC for Better Performance

Learn how to clean your computer effectively to improve performance and speed. This comprehensive guide covers various methods, including manual steps and the best computer cleaning software. Tailored solutions for office workers, students, and personal...

News

Google is no longer boring

Google is quickly regaining its position by introducing a series of new AI features and devices. Google is actively incorporating AI into its products. Photo: The Brux. When ChatGPT was launched, many people were surprised...

News

NASA: Boeing used inexperienced technicians to build rockets

The Inspector General of the US National Aeronautics and Space Administration (NASA) has released a report on a Boeing rocket development project that has been delayed for years. The Atlas V booster carrying the Starliner...

News

Once wanted to ban, TikTok has now become Mr. Trump’s ‘trump’

The period when TikTok was tightened the most was under the Trump administration. However, the former US president aides are now using this same platform to build their campaign strategy. More than 4 years since Donald...

News

Former Twitter Chairman sues X for $20 million in debt

Former Twitter Chairman Omid Kordestani sued X, alleging that billionaire boss Elon Musk did not pay the shares worth more than $20 million owed to him. The former Twitter chairman sued X for $20 million...

News

Secrets of ChatGPT

OpenAI tool can detect content automatically generated by ChatGPT with an accuracy of up to 99.9%. However, they decided not to publish it. Not long after November 2022, when OpenAI brought ChatGPT to the web...

News

Intel most regrettable decision

For the American chipmaking giant, market share and growth rate could have been different if the company had made the right choice in the field of AI. Intel was left behind by Nvdia and AMD...

News

Elon Musk declares war on the advertising industry

This billionaire personality said that advertisers had ‘beaten the council’ of social network X, causing the corporation to lose serious revenue. Elon Musk sued his client. Photo: Wired. On August 6, X Corp filed a...

News

Apple still loses money because of the design from 10 years ago

Apple paid a $50 million settlement to MacBook users who filed a complaint about having to pay for the repair of the butterfly keyboard. MacBook users who are victims of the butterfly keyboard have been...

This site uses cookies to offer you a better browsing experience. By browsing this website, you agree to our use of cookies.