Alphabet, the parent company of the search engine giant Google, made the biggest cybersecurity move yet with a $32 billion acquisition of Wiz, a cloud security startup, the Wall Street Journal and several other international media houses reported.

The deal, Alphabet’s largest ever, highlights Google's deepening focus on cybersecurity as it seeks to gain ground against cloud giants Amazon and Microsoft.

Wiz’s AI-powered solutions are expected to enhance Google Cloud’s defenses, positioning the company more competitively in a sector increasingly reliant on robust security amid the rise of generative AI.

Wiz Deal Marks Alphabet’s Largest-Ever Acquisition

Google parent Alphabet had previously sought to acquire Wiz for roughly $23 billion last year, but antitrust concerns reportedly forced the startup to put the deal on hold. Now, with a more favorable regulatory outlook, the acquisition has moved forward at a significantly higher price tag.

Wiz, valued at $12 billion in a funding round last May, has quickly become one of the fastest-growing cybersecurity firms. Its expertise in identifying and mitigating critical risks will bolster Google Cloud’s security offerings.

The cybersecurity industry has seen heightened demand following major disruptions, including last year’s global CrowdStrike outage, which impacted businesses across multiple sectors. As companies prioritize securing their online operations, Wiz’s AI-driven security solutions have gained traction.

The startup works with major cloud providers such as Amazon Web Services, Microsoft Azure, Oracle, and Google Cloud, with an impressive customer base that includes Morgan Stanley, BMW, and luxury brand LVMH.

Market Reaction and Alphabet’s Future Strategy

Despite the significant investment, Google’s stock showed little movement in premarket trading. While the company’s shares climbed about 35% last year, they declined 13% in 2025 due to investor concerns over Alphabet’s aggressive AI spending.

The Wiz acquisition, however, could prove a strategic advantage as Alphabet seeks to position itself as a leader in cloud security while fending off competition from Amazon and Microsoft.

With this major acquisition, Alphabet is sending a clear signal: cybersecurity is now a top priority in the cloud race. As businesses increasingly invest in AI-driven security solutions, Google’s latest move could redefine its role in the future of cloud computing.

Expect ongoing updates as this story evolves.

Source: Finance Magnates