- Google plans to buy cloud-security firm Wiz for US$32B, its biggest deal, to strengthen Google Cloud’s security and multicloud reach.
- European policymakers worry the acquisition could turn a widely used “cloud-neutral” tool into a lever for lock-in, weaker interoperability, and reduced digital sovereignty.
- The European Commission must decide by Feb. 10, 2026 whether to clear the deal, impose remedies, or open an in-depth probe (after U.S. approval in Nov. 2025).
- The outcome could reshape cloud-security competition and spur further consolidation as hyperscalers and independents respond.
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The proposed Google-Wiz acquisition is highly strategic for Alphabet, particularly in light of competitive pressures from Amazon Web Services (AWS) and Microsoft Azure. Google aims to bolster its cloud security posture and establish itself more firmly in multicloud environments by acquiring Wiz’s platform. Wiz currently provides security tools that are cloud-agnostic—scanning AWS, Azure, Google Cloud, and others—and works with many Fortune 100 firms.
From a regulatory standpoint, Europe is particularly concerned. The Tech Policy Press piece highlights how Wiz has become central to Europe’s digital infrastructure, serving governments, critical infrastructure operators, and large enterprises (including LVMH, Siemens, BMW, Shell, Revolut), with operational presence in Germany, Netherlands, UK, and offices in France. The deal’s ability to shift product development, prioritize Google Cloud or bundle more tightly with Google services could undermine multicloud competition, interoperability, and vendor neutrality.
Economically, the valuation and terms reflect both opportunity and risk. Google’s acquisition comes after Wiz rejected a US$23 billion proposal in mid-2024 over antitrust concerns and investor hesitation, opting instead to aim for an IPO and reach US$1 billion in annual recurring revenue (ARR). By early 2025, Wiz had reportedly grown to approximately US$700-750 million in ARR. The sweetened deal of US$32 billion compensates for this growth and reflects market expectations that cybersecurity will be an essential infrastructure component of cloud and AI ecosystems.
Strategically, key potentials and threats emerge: Google could gain enhanced visibility into security posture across clouds, leverage Wiz’s tools to enhance its AI and cloud product suites, and possibly exert pricing or bundling power. On the flip side, non-Google cloud customers and independent security vendors fear that the neutrality of Wiz’s offering may be eroded, creating lock-in, reduced innovation, and weaker bargaining power.
Regulators have already acted in the U.S., but the European Commission has until February 10, 2026 to decide on its outcome. Political and legal pressures in Europe over digital sovereignty, antitrust, and the recently adopted Digital Markets Act (DMA) multiply the stakes. If cleared unconditionally, this deal could set a precedent for platform-led consolidation; if blocked or conditioned, it will send a signal to Big Tech about the stiff regulatory headwinds.
Open questions remain: how Google will manage Wiz’s multi-cloud arrangements and whether customers on AWS or Azure will retain equivalent access; whether EU provisions or concessions (such as independent governance, data segregation or openness rules) will be imposed; and how other vendors may respond (accelerating their own acquisitions or building competitive alternatives). Additionally, whether Google integrates Wiz deeply with its AI stack could trigger data privacy or security oversight issues.
Supporting Notes
- On March 18, 2025, Google announced a definitive agreement to acquire Wiz, Inc. in an all-cash transaction for US$32 billion.
- Wiz is a cloud-security startup founded in 2020, offering cloud-agnostic visibility across AWS, Azure, GCP, and others, used by governments, critical infrastructure and large enterprises.
- Previously, in July 2024, Wiz rejected a US$23 billion offer from Google due to antitrust concerns and investor hesitations, choosing instead to pursue an IPO and target US$1 billion in ARR.
- By Q1 or early 2025, Wiz had achieved approximately US$700-750 million in annual recurring revenue.
- European Commission must decide by February 10, 2026 whether to approve, conditionally approve, or open an in-depth investigation of the deal.
- Google has committed that Wiz’s platform will continue to work across all major clouds post-acquisition, pledging multicloud compatibility.
- The acquisition is seen by market analysts as a potential catalyst for more M&A activity in cloud security; expect competition with Microsoft, AWS, and other cloud security vendors intensifying.