Skip to main content

Market Overview

Google's Wiz Acquisition Strengthens Cybersecurity Suite, Adds To 'Multicloud Value Proposition': Analyst

Share:
Google's Wiz Acquisition Strengthens Cybersecurity Suite, Adds To 'Multicloud Value Proposition': Analyst

Google parent Alphabet, Inc. (NASDAQ:GOOG) (NASDAQ:GOOGL) announced on Tuesday that it has signed an agreement to acquire cloud security platform Wiz for $32 billion. Experts weigh in on Google's largest acquisition ever. 

Expert Ideas: J.P. Morgan analyst Doug Anmuth sees the Wiz acquisition as strengthening Google's cybersecurity suit and allowing for safer and more efficient multicloud operations.  

"We believe the Wiz acquisition will further strengthen Google's multicloud value proposition & deepen its enterprise relationships as Wiz is used by over 50% of Fortune 100 companies," the analyst wrote.  

Read Next: ‘Black Swan’ Hedge Fund Posts 4,000% Profits During COVID-19 Market Crash: Here’s How

Anmuth noted the expected closing date for the deal is 2026 and believes the longer-than-usual closing reflects the regulatory scrutiny the acquisition will face. He sees the deal as a type of bellwether for the Trump administration's tolerance for large-scale mergers and acquisitions, which will have broader implications for other large-cap tech companies. 

“This deal will get careful scrutiny,” Michael Carrier, an antitrust law professor at Rutgers Law School, told Yahoo Finance. 

“But at the end of the day, I believe it is likely to be approved given an anticipated less aggressive blocking of mergers and the AI angle,” Carrier added. 

GOOG shares fell 2.34% on Tuesday following the announcement of the deal, which is Google's largest ever and also the largest ever in the cybersecurity sector. 

Read Next: 

Image: Shutterstock

 

Related Articles (GOOG + GOOGL)

View Comments and Join the Discussion!

Posted-In: Doug Anmuth Expert Ideas Michael CarrierLarge Cap M&A News Movers Tech

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com