Google has completed its record-breaking acquisition of Israeli-founded cybersecurity company Wiz in a staggering $32 billion deal, marking the largest purchase ever of an Israeli tech firm and the biggest acquisition in Google’s history.

The transaction, which was first announced in March last year and finalized following regulatory approvals, eclipses Google’s previous record acquisition — its $12.5 billion purchase of Motorola Mobility in 2012 — by a wide margin.

The deal is also expected to deliver a massive financial boost to Israel’s economy. Analysts estimate that roughly NIS 10 billion ($3.2 billion) in tax revenue will flow into Israel’s state coffers, largely because Wiz’s four founders and many of its employees are Israeli residents, and several investors in the company are based in Israel.

Founded just a few years ago, Wiz has rapidly emerged as one of the most valuable cybersecurity startups in the world, building a platform designed to secure applications running in cloud environments. The company currently employs about 1,800 workers, and Google has said that workforce will remain intact.

Under the agreement, Wiz will join Google’s rapidly expanding cloud computing division but will continue to operate independently, a structure intended to preserve the startup’s innovative culture while integrating its technology into Google’s broader ecosystem.

Google CEO Sundar Pichai said the acquisition reflects the growing importance of cybersecurity as businesses increasingly migrate their operations to the cloud and rely on artificial intelligence tools.

“Keeping people safe online has always been part of Google’s mission,” Pichai said. “This job is increasingly important today, as more companies and governments move their work to the cloud and broadly use generative AI.”

By combining Wiz’s technology with Google Cloud’s infrastructure, Pichai said the company hopes to make it easier for organizations to adopt new technologies without exposing themselves to cyber threats.

“By bringing Wiz and Google Cloud together, we’re making it easier for organizations to innovate with confidence,” he said.

The acquisition is widely seen as part of Google’s effort to strengthen its position in the fiercely competitive cloud computing market, where it trails rivals Amazon Web Services and Microsoft Azure. The deal also positions Google to compete more aggressively with leading cybersecurity firms such as Palo Alto Networks and CrowdStrike.

(YWN World Headquarters – NYC)