Alphabet (Google) Plans to Acquire Wiz for $32 Billion: EU Antitrust Decision Looms
- Why Is Alphabet Acquiring Wiz?
- What’s the Status of Regulatory Approvals?
- How Does This Fit Into Google’s Cloud Strategy?
- What Are the Broader Industry Implications?
- How Have Markets Reacted?
- What’s Next for the Deal?
- Frequently Asked Questions
Alphabet (Google) is on the verge of finalizing its $32 billion acquisition of cybersecurity firm Wiz, pending approval from EU antitrust regulators by February 10, 2026. The deal, already greenlit by U.S. authorities, would mark Google’s largest-ever acquisition, bolstering its cloud security capabilities to compete with Amazon and Microsoft. Here’s a deep dive into the stakes, regulatory hurdles, and strategic implications.
Why Is Alphabet Acquiring Wiz?
Alphabet’s bid to acquire Wiz for $32 billion isn’t just another corporate move—it’s a strategic power play in the cloud computing arms race. With cybersecurity becoming a cornerstone of cloud services, Google aims to close the gap with rivals like AWS and Azure. Wiz’s cutting-edge threat detection tools and $12 billion valuation (as of its May 2024 funding round) make it a prized asset. Fun fact: Google initially offered $23 billion, but Wiz held out for a sweeter deal. Talk about playing hardball!
What’s the Status of Regulatory Approvals?
The U.S. Department of Justice gave its blessing in November 2025 after a 7-month antitrust review, but the EU Commission’s decision is still pending. Brussels has until February 10, 2026, to either approve, block, or demand concessions. Given the EU’s history of scrutinizing Big Tech mergers (remember the Meta-Giphy saga?), this isn’t a rubber-stamp process. Insiders suggest the deal might get conditional approval, requiring Google to keep Wiz’s tools accessible to competitors—a compromise that could reshape cloud security dynamics.
How Does This Fit Into Google’s Cloud Strategy?
Google Cloud’s $40 billion revenue in 2024 (outpacing its core search ads growth) shows where Alphabet’s priorities lie. Wiz’s tech WOULD integrate into Google Cloud, offering clients like Spotify and Unilever enhanced protection against ransomware and zero-day exploits. As a BTCC market analyst noted, “This acquisition is less about market share and more about credibility—Google’s playing catch-up in enterprise trust.”
What Are the Broader Industry Implications?
The deal underscores how cybersecurity has become the new battleground for cloud providers. Microsoft’s $20 billion acquisition of RiskIQ in 2023 set the precedent. Now, with Wiz’s AI-driven security platforms, Google could leapfrog competitors. Interestingly, Wiz CEO Assaf Rappaport previously sold his startup Adallom to Microsoft for $320 million in 2015—proof that in tech, today’s acquirer can be tomorrow’s acquisition target.
How Have Markets Reacted?
Google’s stock surged 65% in 2025, dwarfing even Nvidia’s gains, partly fueled by investor Optimism around this deal. However, some antitrust watchdogs warn that consolidating Wiz’s tech under Google might stifle innovation. “When giants swallow disruptors, the market often loses alternative solutions,” cautions a CoinMarketCap industry report.
What’s Next for the Deal?
If approved, integration could begin by Q2 2026, with Wiz’s 900 employees joining Google Cloud. Regulatory delays aren’t uncommon—the Adobe-Figma $20 billion deal took 18 months—but Alphabet seems confident. As one Google exec quipped anonymously, “We’ve budgeted for champagne and legal fees.”
Frequently Asked Questions
Why is Wiz worth $32 billion to Google?
Wiz’s cloud-native security platform detects vulnerabilities 80% faster than legacy tools, a key advantage as enterprises migrate to hybrid clouds. Its ARR grew 300% YoY in 2024.
Could the EU block the acquisition?
Possible but unlikely. The more probable outcome is behavioral remedies, like requiring API access for rivals—similar to Microsoft’s LinkedIn acquisition conditions.
How does this affect smaller cybersecurity firms?
Expect consolidation. Startups like Orca and Lacework may become acquisition targets for IBM or Oracle seeking competitive responses.
