Biggest exit in Israeli tech history: Google acquires Wiz for $32 billion
The Financial Times reported today (Tuesday) that Google's parent company, Alphabet, has agreed to acquire the Israeli company Wiz for $32 billion.
Alphabet had been in talks to acquire Wiz, a cloud security company, last summer. The initial deal discussed was around $23 billion, but estimates yesterday put the transaction at $30 billion. These negotiations previously failed because Wiz decided to remain independent and aimed for an IPO.
The sale to Google marks the largest exit in Israeli high-tech history – almost double that of Mobileye, which previously held the title of Israel’s biggest exit after being acquired by Intel for approximately $15.3 billion. Additionally, this is the largest acquisition in Google's history.
Wiz was founded in March 2020, and within a year, its valuation reached $1.7 billion. The company was established by Israeli entrepreneurs Assaf Rappaport, Ami Luttwak, Yinon Costica, and Roy Reznik.
The founders had previously worked together at the company Adallom, and after selling it to Microsoft, they continued working at Microsoft Israel R&D, where Rappaport was formerly the CEO. The company's development center is located in Israel, but it is registered in the United States, with its headquarters in New York. Wiz also has offices in Palo Alto and London.
In August 2022, the company reported reaching an annual sales run rate of $100 million. Nine months later, it reached a $200 million annual run rate, and by the end of 2023, its annual sales hit $350 million.
Ram Brandts is a correspondent for KAN 11 news.
