Google's Potential Acquisition of Wiz: A Testament to Israel's Military Intelligence Legacy

Google Acquisition Target Wiz Another Fruit of Israel's Military Intelligence

JERUSALEM (Reuters) - An elite Israeli military intelligence unit may once again be about to prove its value to the nation's tech economy as Google's parent eyes cybertech company Wiz for an eyewatering $23 billion. Alphabet Inc , a person familiar has said, is in advanced talks to buy Wiz from founder Assaf Rappaport, a former officer from the famed 8200 military unit, which has built a track record in turning out tech entrepreneurs. As the war in Gaza squeezes Israel's economy, the deal underscores the resilience of the tech industry, which accounts for some 20% of the country's output and around 15% of jobs. It also highlights the military's role in developing one of Israel's most successful sectors. Along with universities, Israel's military intelligence and technology units, such as 8200, have provided the leaders for hundreds of tech start ups, helping to turn Israel into what is widely considered the No. 2 tech centre globally after Silicon Valley. Check Point Software Technologies, Nice, Palo Alto Networks, CyberArk, Wix and Waze - bought by Google for $1 billion - are a handful of companies whose founders have military roots. Rappaport credits the Israeli military for his success, once calling the 8200 unit "the best school of entrepreneurship." He served there with his "army buddies" Yinon Costica, Roy Reznik and Ami Luttwak, with whom he co-founded his previous cloud security company Adallom in 2012, which they sold to Microsoft three years later for $320 million. In 2020, at the outset of the COVID pandemic, the four started cloud cyber security company Wiz, rapidly building it into a company that was given a $12 billion valuation after a $1 billion funding round in May this year. "In a way it's like raising tigers and then releasing them to the wild," Gili Raanan, founder of Venture capital firm Cyberstarts and general partner at Sequoia Capital said of the intelligence units. 8200 GRADUATES DOMINATE He said being from an elite intelligence unit is not a requirement for him when investing, however, "90% to 95% of the teams I see are made up made up of 8200 graduates." "So whether I look into that or not, that's the talent pool I am looking at." Part of the reason is the free wheeling, meritocratic nature of the units, which allow their graduates to move smoothly into the startup world after their service ends, said Raanan, who was an initial investor in both Adallom and Wiz - now headquartered in New York with R&D in Tel Aviv. Rappaport did not initially want to accept money from Sequoia for Adallom in 2012 and declined a number of meeting requests from Raanan. Raanan insisted and he eventually agreed to meet at a gas station about 40 minutes north of Tel Aviv. "Essentially we signed the terms on a napkin in a gas station." While Israel has mandatory post-high school military service, the intelligence units have the right of first refusal so they "can screen for the best people," said Dror Bin, chief executive of the Israel Innovation Authority. 8200 is the army's main information gathering unit, where 18-21-year old soldiers develop and use tools to gather information, which they pass on to senior officials. It's Israel's version of the U.S. National Security Agency. Less known is 81, the Intelligence Corp's Technological Unit that supplies cutting-edge technologies to Israeli combat soldiers. Rappaport also served in this unit, which has been the launchpad for many cyber, AI and fintech firms once soldiers return to civilian life. START-UP STRENGTH Despite the cloud cast over the economy by the Gaza war, Israeli companies have been among the major beneficiaries of the boom in demand for cloud security and have benefited from a number of strong financing rounds. Industry group Startup Nation Central on Wednesday said in a report that private funding in Israeli startups rose 31% to $5.1 billion in the first half of 2024 from the second half of 2023, with cybersecurity contributing 52% of the funding. "One might expect the 'Israeli factor' to have a stronger impact on the Israeli tech activity, but the data suggests otherwise," Avi Hasson, Startup Nation Central chief executive, said. If the Wiz acquisition goes ahead, it would eclipse a $15.3 billion purchase of Mobileye by Intel in 2017 and provide at least $1 billion of tax income into Israeli coffers. "Even if it doesn't happen, it's a sign of confidence in the Israeli tech sector," said Bin. "Deciding to make such a big investment in an Israeli based company during time of war means that it's really a good deal," he said adding he expected to see more. "There are many good targets in Israel today for such acquisitions. And maybe even this potential decision of Google will accelerate investment decisions of others." Amiram Shachar, CEO and co-founder of Israeli cloud security firm Upwind Security said Google potentially buying Wiz is the "best thing" that could have happened for both the cybersecurity and cloud industries and Israel's ecosystem will benefit. "It confirms that the cloud is the future," he said, "and underscores the need to build comprehensive platforms, not just feature-specific companies, to protect it." (Reporting by Steven Scheer; Editing by Sharon Singleton)

Google acquisition target Wiz another fruit of Israel's military intelligence

An elite Israeli military intelligence unit may once again be about to prove its value to the nation's tech economy as Google's parent eyes cybertech company Wiz for an eyewatering $23 billion. Alphabet Inc , a person familiar has said, is in advanced talks to buy Wiz from founder Assaf Rappaport, a former officer from the famed 8200 military unit, which has built a track record in turning out tech entrepreneurs. As the war in Gaza squeezes Israel's economy, the deal underscores the resilience of the tech industry, which accounts for some 20% of the country's output and around 15% of jobs. It also highlights the military's role in developing one of Israel's most successful sectors. Along with universities, Israel's military intelligence and technology units, such as 8200, have provided the leaders for hundreds of tech start ups, helping to turn Israel into what is widely considered the No. 2 tech centre globally after Silicon Valley. Check Point Software Technologies, Nice, Palo Alto Networks, CyberArk, Wix and Waze - bought by Google for $1 billion - are a handful of companies whose founders have military roots. Rappaport credits the Israeli military for his success, once calling the 8200 unit "the best school of entrepreneurship." He served there with his "army buddies" Yinon Costica, Roy Reznik and Ami Luttwak, with whom he co-founded his previous cloud security company Adallom in 2012, which they sold to Microsoft three years later for $320 million. In 2020, at the outset of the COVID pandemic, the four started cloud cyber security company Wiz, rapidly building it into a company that was given a $12 billion valuation after a $1 billion funding round in May this year. "In a way it's like raising tigers and then releasing them to the wild," Gili Raanan, founder of Venture capital firm Cyberstarts and general partner at Sequoia Capital said of the intelligence units. 8200 GRADUATES DOMINATE He said being from an elite intelligence unit is not a requirement for him when investing, however, "90% to 95% of the teams I see are made up made up of 8200 graduates." "So whether I look into that or not, that's the talent pool I am looking at." Part of the reason is the free wheeling, meritocratic nature of the units, which allow their graduates to move smoothly into the startup world after their service ends, said Raanan, who was an initial investor in both Adallom and Wiz - now headquartered in New York with R&D in Tel Aviv. Rappaport did not initially want to accept money from Sequoia for Adallom in 2012 and declined a number of meeting requests from Raanan. Raanan insisted and he eventually agreed to meet at a gas station about 40 minutes north of Tel Aviv. "Essentially we signed the terms on a napkin in a gas station." While Israel has mandatory post-high school military service, the intelligence units have the right of first refusal so they "can screen for the best people," said Dror Bin, chief executive of the Israel Innovation Authority. 8200 is the army's main information gathering unit, where 18-21-year old soldiers develop and use tools to gather information, which they pass on to senior officials. It's Israel's version of the U.S. National Security Agency. Less known is 81, the Intelligence Corp's Technological Unit that supplies cutting-edge technologies to Israeli combat soldiers. Rappaport also served in this unit, which has been the launchpad for many cyber, AI and fintech firms once soldiers return to civilian life. START-UP STRENGTH Despite the cloud cast over the economy by the Gaza war, Israeli companies have been among the major beneficiaries of the boom in demand for cloud security and have benefited from a number of strong financing rounds. Industry group Startup Nation Central on Wednesday said in a report that private funding in Israeli startups rose 31% to $5.1 billion in the first half of 2024 from the second half of 2023, with cybersecurity contributing 52% of the funding. "One might expect the 'Israeli factor' to have a stronger impact on the Israeli tech activity, but the data suggests otherwise," Avi Hasson, Startup Nation Central chief executive, said. If the Wiz acquisition goes ahead, it would eclipse a $15.3 billion purchase of Mobileye by Intel in 2017 and provide at least $1 billion of tax income into Israeli coffers. "Even if it doesn't happen, it's a sign of confidence in the Israeli tech sector," said Bin. "Deciding to make such a big investment in an Israeli based company during time of war means that it's really a good deal," he said adding he expected to see more. "There are many good targets in Israel today for such acquisitions. And maybe even this potential decision of Google will accelerate investment decisions of others." Amiram Shachar, CEO and co-founder of Israeli cloud security firm Upwind Security said Google potentially buying Wiz is the "best thing" that could have happened for both the cybersecurity and cloud industries and Israel's ecosystem will benefit. "It confirms that the cloud is the future," he said, "and underscores the need to build comprehensive platforms, not just feature-specific companies, to protect it." (Reporting by Steven Scheer; Editing by Sharon Singleton)

Google acquisition target Wiz another fruit of Israel's military intelligence

* Israel's elite military units spawn tech entrepreneurs * Google reportedly in advanced talks to buy Wiz for up to $23b * Wiz owner a former officer from 8200 intelligence unit * Deal shows resilience of Israel's tech industry despite war JERUSALEM, July 17 (Reuters) - An elite Israeli military intelligence unit may once again be about to prove its value to the nation's tech economy as Google's parent eyes cybertech company Wiz for an eyewatering $23 billion. Alphabet Inc , a person familiar has said, is in advanced talks to buy Wiz from founder Assaf Rappaport, a former officer from the famed 8200 military unit, which has built a track record in turning out tech entrepreneurs. As the war in Gaza squeezes Israel's economy, the deal underscores the resilience of the tech industry, which accounts for some 20% of the country's output and around 15% of jobs. It also highlights the military's role in developing one of Israel's most successful sectors. Along with universities, Israel's military intelligence and technology units, such as 8200, have provided the leaders for hundreds of tech start ups, helping to turn Israel into what is widely considered the No. 2 tech centre globally after Silicon Valley. Check Point Software Technologies, Nice, Palo Alto Networks, CyberArk, Wix and Waze - bought by Google for $1 billion - are a handful of companies whose founders have military roots. Rappaport credits the Israeli military for his success, once calling the 8200 unit "the best school of entrepreneurship." He served there with his "army buddies" Yinon Costica, Roy Reznik and Ami Luttwak, with whom he co-founded his previous cloud security company Adallom in 2012, which they sold to Microsoft three years later for $320 million. In 2020, at the outset of the COVID pandemic, the four started cloud cyber security company Wiz, rapidly building it into a company that was given a $12 billion valuation after a $1 billion funding round in May this year. "In a way it's like raising tigers and then releasing them to the wild," Gili Raanan, founder of Venture capital firm Cyberstarts and general partner at Sequoia Capital said of the intelligence units. He said being from an elite intelligence unit is not a requirement for him when investing, however, "90% to 95% of the teams I see are made up made up of 8200 graduates." "So whether I look into that or not, that's the talent pool I am looking at." Part of the reason is the free wheeling, meritocratic nature of the units, which allow their graduates to move smoothly into the startup world after their service ends, said Raanan, who was an initial investor in both Adallom and Wiz - now headquartered in New York with R&D in Tel Aviv. Rappaport did not initially want to accept money from Sequoia for Adallom in 2012 and declined a number of meeting requests from Raanan. Raanan insisted and he eventually agreed to meet at a gas station about 40 minutes north of Tel Aviv. "Essentially we signed the terms on a napkin in a gas station." While Israel has mandatory post-high school military service, the intelligence units have the right of first refusal so they "can screen for the best people," said Dror Bin, chief executive of the Israel Innovation Authority. 8200 is the army's main information gathering unit, where 18-21-year old soldiers develop and use tools to gather information, which they pass on to senior officials. It's Israel's version of the U.S. National Security Agency. Less known is 81, the Intelligence Corp's Technological Unit that supplies cutting-edge technologies to Israeli combat soldiers. Rappaport also served in this unit, which has been the launchpad for many cyber, AI and fintech firms once soldiers return to civilian life. Despite the cloud cast over the economy by the Gaza war, Israeli companies have been among the major beneficiaries of the boom in demand for cloud security and have benefited from a number of strong financing rounds. Industry group Startup Nation Central on Wednesday said in a report that private funding in Israeli startups rose 31% to $5.1 billion in the first half of 2024 from the second half of 2023, with cybersecurity contributing 52% of the funding. "One might expect the 'Israeli factor' to have a stronger impact on the Israeli tech activity, but the data suggests otherwise," Avi Hasson, Startup Nation Central chief executive, said. If the Wiz acquisition goes ahead, it would eclipse a $15.3 billion purchase of Mobileye by Intel in 2017 and provide at least $1 billion of tax income into Israeli coffers. "Even if it doesn't happen, it's a sign of confidence in the Israeli tech sector," said Bin. "Deciding to make such a big investment in an Israeli based company during time of war means that it's really a good deal," he said adding he expected to see more. "There are many good targets in Israel today for such acquisitions. And maybe even this potential decision of Google will accelerate investment decisions of others." Amiram Shachar, CEO and co-founder of Israeli cloud security firm Upwind Security said Google potentially buying Wiz is the "best thing" that could have happened for both the cybersecurity and cloud industries and Israel's ecosystem will benefit. "It confirms that the cloud is the future," he said, "and underscores the need to build comprehensive platforms, not just feature-specific companies, to protect it." (Reporting by Steven Scheer; Editing by Sharon Singleton)

Google acquisition target Wiz another fruit of Israel's military intelligence

Along with universities, Israel's military intelligence and technology units, such as 8200, have provided the leaders for hundreds of tech start ups, helping to turn Israel into what is widely considered the No. 2 tech centre globally after Silicon Valley. Check Point Software Technologies, Nice, Palo Alto Networks, CyberArk, Wix and Waze - bought by Google for $1 billion - are a handful of companies whose founders have military roots. Rappaport credits the Israeli military for his success, once calling the 8200 unit "the best school of entrepreneurship." He served there with his "army buddies" Yinon Costica, Roy Reznik and Ami Luttwak, with whom he co-founded his previous cloud security company Adallom in 2012, which they sold to Microsoft three years later for $320 million. In 2020, at the outset of the COVID pandemic, the four started cloud cyber security company Wiz, rapidly building it into a company that was given a $12 billion valuation after a $1 billion funding round in May this year. "In a way it's like raising tigers and then releasing them to the wild," Gili Raanan, founder of Venture capital firm Cyberstarts and general partner at Sequoia Capital said of the intelligence units. He said being from an elite intelligence unit is not a requirement for him when investing, however, "90% to 95% of the teams I see are made up made up of 8200 graduates." "So whether I look into that or not, that's the talent pool I am looking at." Part of the reason is the free wheeling, meritocratic nature of the units, which allow their graduates to move smoothly into the startup world after their service ends, said Raanan, who was an initial investor in both Adallom and Wiz - now headquartered in New York with R&D in Tel Aviv. Rappaport did not initially want to accept money from Sequoia for Adallom in 2012 and declined a number of meeting requests from Raanan. Raanan insisted and he eventually agreed to meet at a gas station about 40 minutes north of Tel Aviv. "Essentially we signed the terms on a napkin in a gas station." While Israel has mandatory post-high school military service, the intelligence units have the right of first refusal so they "can screen for the best people," said Dror Bin, chief executive of the Israel Innovation Authority. 8200 is the army's main information gathering unit, where 18-21-year old soldiers develop and use tools to gather information, which they pass on to senior officials. It's Israel's version of the U.S. National Security Agency. Less known is 81, the Intelligence Corp's Technological Unit that supplies cutting-edge technologies to Israeli combat soldiers. Rappaport also served in this unit, which has been the launchpad for many cyber, AI and fintech firms once soldiers return to civilian life. Despite the cloud cast over the economy by the Gaza war, Israeli companies have been among the major beneficiaries of the boom in demand for cloud security and have benefited from a number of strong financing rounds. Industry group Startup Nation Central on Wednesday said in a report that private funding in Israeli startups rose 31% to $5.1 billion in the first half of 2024 from the second half of 2023, with cybersecurity contributing 52% of the funding. "One might expect the 'Israeli factor' to have a stronger impact on the Israeli tech activity, but the data suggests otherwise," Avi Hasson, Startup Nation Central chief executive, said. If the Wiz acquisition goes ahead, it would eclipse a $15.3 billion purchase of Mobileye by Intel in 2017 and provide at least $1 billion of tax income into Israeli coffers. "Even if it doesn't happen, it's a sign of confidence in the Israeli tech sector," said Bin. "Deciding to make such a big investment in an Israeli based company during time of war means that it's really a good deal," he said adding he expected to see more. "There are many good targets in Israel today for such acquisitions. And maybe even this potential decision of Google will accelerate investment decisions of others." Amiram Shachar, CEO and co-founder of Israeli cloud security firm Upwind Security said Google potentially buying Wiz is the "best thing" that could have happened for both the cybersecurity and cloud industries and Israel's ecosystem will benefit. "It confirms that the cloud is the future," he said, "and underscores the need to build comprehensive platforms, not just feature-specific companies, to protect it." (Reporting by Steven Scheer; Editing by Sharon Singleton)

Alphabet in talks to buy Wiz in $23 billion cyber deal

Google parent Alphabet Inc. is in talks to acquire cybersecurity startup Wiz Inc., according to a person familiar with the matter. A deal may be worth as much as $23 billion, said the person, who asked not to be identified discussing nonpublic information. That would make it the tech giant's largest acquisition to date. An agreement hasn't been reached and talks could still end without one, the person said. A representative for Alphabet didn't respond to requests for comment. A spokesperson for Wiz declined to comment. Alphabet already owns the cybersecurity firm Mandiant, which it bought for $5.4 billion two years ago in its second-largest acquisition, topped only by its deal for Motorola Mobility Holdings LLC completed in 2012. An acquisition target as large as Wiz would be unusual for a big tech company like Alphabet and may draw even more scrutiny from antitrust regulators. Google already faces several antitrust challenges, including a lawsuit by the U.S. Justice Department accusing it of abusing its dominant position in online search and another one regarding its digital advertising tools. The Wiz talks, which were previously reported by the Wall Street Journal, come on the heels of Alphabet shelving efforts to acquire customer relationship management company HubSpot Inc., which Bloomberg News reported last week. Google shares, which have gained more than 33% this year, rose about 1% to $186.54 at 1 p.m. in New York. New York-based Wiz connects to cloud storage providers such as Amazon Web Services and Microsoft Azure and scans data stored there for security risks. The company, founded in 2020, was valued at $12 billion during a May funding round that drew investors such as Andreessen Horowitz, Lightspeed Venture Partners and Thrive Capital. The acquisition of Wiz could help Google catch up to Microsoft Corp. and Amazon.com Inc. in an increasingly competitive cloud market. Alphabet has been ramping up investment in its cloud customer business, including offering more generative artificial intelligence tools for clients. Though Google still lags behind Microsoft and Amazon in the market for cloud computing, the company reported that its cloud unit has been profitable in consecutive quarters, after years of the unit being a money-losing operation. Opportunities are growing in the space as more startups move their apps and data to the cloud, particularly for generative AI purposes. Artificial intelligence tools are trained off of enormous data sets and often require vast amounts of compute power to generate content such as images, marketing campaigns or software code. An Alphabet takeover of Wiz also stands to intensify Google's competition against Microsoft, the world's largest seller of cybersecurity products. Microsoft has been hit with a series of embarrassing hacks that have exposed corporate and government customers in recent years. A U.S. government report blasted the company earlier this year for its failure to stop hackers tied to the Chinese government from pilfering the email boxes of U.S. officials. Google has been betting Microsoft's very public cybersecurity failures -- along with deep discounts -- will persuade corporate and government customers to use the search giant's productivity software rather than Office. In May, it released a white paper highlighting its rival's security lapses, and was considering launching similarly-themed social-media and advertising campaigns. Google was also offering one free year to government agencies that switch 500 or more users to Google Workspace Enterprise Plus for three years and said they would be eligible for a "significant discount" for the rest of the contract. -- With assistance from Liana Baker and Ryan Gould. (Updates with Google's share price in seventh paragraph.) ©2024 Bloomberg L.P. Visit bloomberg.com. Distributed by Tribune Content Agency, LLC.

Will Google's $23 billion Wiz acquisition fuel an M&A boom and reignite the Israel debate? - ExBulletin

Google parent Alphabet said it would make its largest-ever $23 billion acquisition offer for cybersecurity cloud software company Wizz, potentially shaking up the mergers and acquisitions industry that dominates a struggling tech market in 2023. But the deal could also spark new protests following the company's contract with the Israeli government during the Gaza war, which led to employee firings. Wizz was founded in Israel and is now headquartered in New York, but most of the company's engineers still work in Tel Aviv. The Times of Israel reported in February that Wizz has about 900 employees worldwide, including 150 in Israel, and plans to increase its workforce by 400. The potential M&A bonanza, first reported by The Wall Street Journal on Sunday, citing anonymous sources, could signal that tech companies are pursuing deals despite persistently high interest rates and a broader tech sector slump.Wizz's outlook has soared since the company's 2020 founding, with annual recurring revenue (ARR) expected to reach $350 million in 2023. Reuters, citing anonymous sources, reported that the acquisition will be primarily funded with cash. Google's latest financial report showed that it expects revenue of more than $79.9 billion in the first quarter of 2024, up more than $10.5 billion from the same period in 2023. Google also reported that it has $108.09 billion in cash on hand. According to the New York Times, Google Cloud CEO Thomas Kurian orchestrated the acquisition of Wizz. Related: Google bows to EU antitrust pressure and changes data practices M&A could change Google Cloud strategy Chris Pearson, CEO of executive cybersecurity firm BlackCloak, said in an interview with InformationWeek that Google's move may signal a new strategy for tech M&A deals: Instead of focusing on acquiring struggling companies or smaller intellectual property interests, Google is looking at deals that can restructure the company. It's a move for Google that solidifies its position as a cloud powerhouse for decades to come, Pearson said. "It's very smart and very well timed. And it shows that the market is completely open and deals are happening, which is a good sign for the entire cybersecurity economy." Chris Stafford, an M&A expert at business and technology consultancy West Monroe, calls the deal the company's biggest move yet in the cloud cybersecurity space. In an interview with InformationWeek, he said the company's ambitions are clearly big. The $23 billion price tag is nearly double the company's valuation just a few months ago, when it raised $1 billion in venture capital at a valuation of $12 billion. Related: Tech M&A value to plummet 55% in 2023: Report Of course, any agreement would depend on strengthening antitrust approval worldwide -- and Google is already embroiled in an antitrust lawsuit by the U.S. Department of Justice -- and the EU has taken a tougher stance on antitrust, signaling its willingness to take on big tech companies as it seeks to cement its position as a leader in global tech regulation. But Blackcloak's Pearson thinks Wizz's unique position could create a business that doesn't attract antitrust heat. "Wizz is working on a very specific, deep-rooted technology that can advance certain aspects of the overall Google Cloud platform. We think that's really category-defining and will set it apart from other deals that are attracting more regulatory attention," Pearson said. Possible dispute over Israeli ties In April, some Google employees staged sit-ins at offices in New York and California over the company's involvement in $1.2 billion Project Nimbus, a 2021 contract with Amazon to provide cloud computing and artificial intelligence services to the Israeli government. To break up the sit-in, Google called in the police, who arrested the protesters, and according to No Tech for Apartheid, the group that organized the protest, the arrests have resulted in the firing of more than 50 employees. Related: 5 Big Cloud Security Deals That Will Shape the Industry in 2023 Wiz still has strong ties to Israel: Before founding Wiz, the company's four founders -- Assaf Rapaport (current CEO), Ami Luttwak, Yinon Kostika and Roy Resnick -- served in the Israel Defense Forces' elite intelligence unit, Unit 8200. If the valuation holds up, the four founders stand to make $2.3 billion each, Haaretz reported. According to Israeli business news site Globes, Israel stands to earn at least $2.5 billion in tax revenue from the acquisition, not just on the founders' profits but also on those of other Israeli shareholders. In a post on X (formerly Twitter), New York Rep. Ritchie Torres said the purchase would be a vote of confidence in Israel -- a $23 billion middle finger to BDS. [Boycott, Divestment and Sanction] It was a movement against the Jewish state, he wrote. Google's stance on the protests In an April blog post, Google and Alphabet CEO Sundar Pichai said the company puts its mission above politics: "We have a culture of robust and open debate. But ultimately, we're a workplace, and our policies and expectations are clear. This is a business, not a place to disrupt or make colleagues feel uneasy, to try to use the company as a personal platform, to fight over confusing issues, or to discuss politics." In a press release, No Tech for Apartheid accused Google of trying to intimidate its employees and stifle free speech. Google's objective is clear: The company is trying to stifle dissent, silence its employees and reassert power over them, a spokesperson said. InformationWeek has reached out to Google and Wiz for comment on the potential acquisition and will update if we hear back. InformationWeek will also be reaching out to No Tech For Apartheid, which aims to divest companies from Israeli interests surrounding the Gaza war, to provide an update. What Are The Main Benefits Of Comparing Car Insurance Quotes Online

Google's parent company close to landmark $23 billion acquisition of cybersecurity startup Wiz - ExBulletin

Google's parent company Alphabet is reportedly in talks to buy cybersecurity company Wiz for a massive $23 billion, which would be the tech group's largest acquisition ever. Terms of the deal have yet to be finalized and it may not close, but both companies seem ready to get the deal done. Wiz is one of the fastest-growing cybersecurity startups in the world and has the potential to boost Google's cybersecurity capabilities and make it more competitive in the cloud market. It's a big cybersecurity bet for Google, but it could put it in a better position against close rivals Amazon and Microsoft. What you need to know about Wiz Wiz is a cloud security startup founded just four years ago by Assaf Rappaport, Yinon Costica, Roy Reznik, and Ami Luttwak. The company focuses on analyzing potential threats and vulnerabilities in cloud infrastructure, essentially helping businesses protect their vulnerable data. Salesforce is also a Wizs customer and has invested heavily in the company: Salesforce Ventures participated in a $250 million funding round in 2021, as well as a $1 billion funding round in May of this year. The company also boasts that 40% of Fortune 100 companies are its customers. How it will help Google compete in the cloud market Google's move gives the company a huge opportunity to significantly improve its cloud services. Amazon and Microsoft are currently leading the cloud wars by a significant margin, as both were ahead of Google in terms of cybersecurity and overall service offerings. Thus, the acquisition of Wiz shows Google's commitment to strengthening its cloud division and indicates its willingness to make significant investments to catch up with its rivals. Wiz offers advanced anomaly detection and response capabilities, providing Google with a more powerful cloud security solution. Read more: Cloud AI wars: Who will win? Summary Armed with Wiz's powerful technology, Google hopes to enhance its cloud services, attract more customers, and increase revenue. This is an exciting development in the cloud computing space and we expect to see some interesting changes in the market as a result. What Are The Main Benefits Of Comparing Car Insurance Quotes Online

Google's Potential $23B Wiz Acquisition Set To Enhance Cloud Security - Alphabet (NASDAQ:GOOGL)

Acquisition aims to enhance Google's cloud security offerings. Alphabet Inc. GOOG GOOGL is in advanced talks to acquire cloud security firm Wiz in a deal potentially worth up to $23 billion, an acquisition that would significantly enhance Google's cloud security capabilities, helping it compete with major rivals such as Amazon.com Inc. AMZN and Microsoft Corp. MSFT. The deal would also mark Google's most expensive acquisition to date. If successful, the acquisition of Wiz will provide Google with advanced cybersecurity tools designed to protect large organizations from ransomware attacks, reported Reuters. Wiz's offerings include comprehensive infrastructure and software scanning tools that give customers clear visibility into potential threats, senior intelligence analyst at MalwareBytes, Jerome Seguera, told Reuters. Google has been steadily expanding its cybersecurity portfolio, having acquired the cyber firm Mandiant for $5.4 billion two years ago. Marc Bleicher, CTO of Surefire Cyber, noted that Google is positioning itself to better compete with Microsoft and Amazon Web Services in the cloud security market. Wiz, founded in 2020, has quickly become a key player in cloud security, especially with the shift to remote work during the pandemic. Also Read: Google's 'Poker Move' With Wiz Could Be The Kickoff For Big Tech M&A In 2025: Analyst Wiz was founded by former Israeli army intelligence members who previously established Adallom, another cloud security firm acquired by Microsoft Corp MSFT for $320 million in 2015. Headquartered in New York, Wiz has rapidly grown, recently valued at $12 billion and expecting $1 billion in annual organic revenue by 2025. The company has raised nearly $2 billion in venture capital to date. The potential acquisition of Wiz comes amid a surge in global cybersecurity deals in 2024, with 120 deals announced in the first half of the year totaling $12.4 billion. Alphabet stock has gained more than 43% in the last 12 months. Investors can gain exposure to the stock via the Communication Services Select Sector SPDR Fund XLC and Vanguard Communication Services ETF VOX. Price Action: GOOGL shares are trading higher by 0.75% at $187.93 in early morning trading Tuesday. Read Next: Google's Camera Updates Will Soon Let Apps Like Instagram Capture Ultra HDR Images: Here's Why It's Important Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo: Shutterstock Market News and Data brought to you by Benzinga APIs

Google to Reportedly Acquire Wiz: ETFs in Focus

According to a report from the Wall Street Journal, Google's parent company Alphabet GOOGL is reportedly in talks to acquire cyber security startup Wiz for $23 billion. This potential acquisition would be Google's largest ever and significantly boost its cloud computing capabilities. The potential deal has put ETFs with a substantial allocation to Alphabet in focus. These include Communication Services Select Sector SPDR Fund XLC, Vanguard Communication Services ETF VOX, Fidelity MSCI Communication Services Index ETF FCOM, iShares Global Comm Services ETF IXP and MicroSectors FANG+ ETN FNGS. Wiz, an Israeli startup founded in 2020, is one of the fastest-growing start-ups in the cloud security arena and has been positioning itself as a platform provider versus leaders Palo Alto Networks PANW, Zscaler ZS and others (read: Tech Sector Dominates First-Half Rally: 5 Best ETFs). The potential deal highlights Alphabet's strategic focus on enhancing its cybersecurity portfolio amid increasing competition in the tech industry. It would boost Google's cloud-computing business, which lags behind Amazon.com (AMZN) unit Amazon Web Services as well as Microsoft (MSFT). Offering an all-in-one approach to cloud security, Wiz relies on ingesting data from various cloud platforms, including Amazon Web Services, Microsoft Azure, and Google Cloud, and then scanning it all for security risk factors. Alphabet executives see the deal as a way to fortify Google's cloud business, which grew 28% to $9.57 billion in the first quarter of this year. However, an agreement hasn't been reached yet, and talks may fall apart. ETFs in Focus Let's delve into each ETF below: Communication Services Select Sector SPDR Fund (XLC) Communication Services Select Sector SPDR Fund offers exposure to companies from telecommunication services, media, entertainment and interactive media & services and has accumulated $19.6 billion in its asset base. It follows the Communication Services Select Sector Index and holds 22 stocks in its basket, with Alphabet Class A and C shares occupying the second and third position, respectively, with a combined 23.4% share. About 47% of the portfolio is allocated to interactive media & services, while entertainment and media round off the next two (read: Communication Services ETF Hits New 52-Week High). Communication Services Select Sector SPDR Fund charges 9 bps in annual fees and trades in an average daily volume of 3.2 million shares. It has a Zacks ETF Rank #2 (Buy). Vanguard Communication Services ETF (VOX) Vanguard Communication Services ETF targets the communication sector by tracking the MSCI US Investable Market Communication Services 25/50 Index. Holding 117 stocks in its basket, both Alphabet Class A and C shares take the second and third spots, with a total of 22.2% of the portfolio. Interactive media & services is the top sector, accounting for 51.1% of the portfolio, while movies & entertainment, cable & satellite and integrated telecommunication services round off the next three. Vanguard Communication Services ETF has AUM of $4.1 billion and trades in a good volume of 135,000 shares a day, on average. It charges 10 bps in annual fees and has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook. Fidelity MSCI Communication Services Index ETF (FCOM) Fidelity MSCI Communication Services Index ETF follows the MSCI USA IMI Communication Services 25/50 Index. It holds 108 stocks in its basket, with Alphabet Class A and C shares occupying the second and third positions, respectively, at a combined 22.1%. Fidelity MSCI Communication Services Index ETF has amassed $1.2 billion in its asset base and trades in an average daily volume of 67,000 shares. It charges 8 bps in annual fees and has a Zacks ETF Rank #3 with a Medium risk outlook. iShares Global Comm Services ETF (IXP) iShares Global Comm Services ETF provides global exposure to companies in media, entertainment, social media, search engine, video/gaming and telecommunication services by tracking the S&P Global 1200 Communication Services 4.5/22.5/45 Capped Index. It holds 65 stocks in its basket, with Alphabet Class A and C shares taking the second and third spot, respectively, at 22.8%. Interactive media & services dominates the fund's return at 51.8%, followed by integrated telecommunication services (17.7%). iShares Global Comm Services ETF has amassed $443 million in its asset base while trading at an average daily volume of 20,000 shares. The expense ratio comes in at 0.42%. IXP has a Zacks ETF Rank #3 with a Medium risk outlook. MicroSectors FANG+ ETN (FNGS) MicroSectors FANG+ ETN is linked to the performance of the NYSE FANG+ Index, which is equal-dollar weighted, designed to provide exposure to a group of highly traded growth stocks of next-generation technology and tech-enabled companies. It holds 10 equal-weighted stocks in its basket, with Alphabet accounting for a 10.2% share (read: Can Mega-Cap Tech's AI Boom Continue in 2H24?). MicroSectors FANG+ ETN has accumulated $383.6 million in its asset base and charges 58 bps in annual fees. It trades in an average daily volume of 124,000 shares and has a Zacks ETF Rank #3. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report Vanguard Communication Services ETF (VOX): ETF Research Reports Fidelity MSCI Communication Services Index ETF (FCOM): ETF Research Reports iShares Global Comm Services ETF (IXP): ETF Research Reports Zscaler, Inc. (ZS) : Free Stock Analysis Report Communication Services Select Sector SPDR ETF (XLC): ETF Research Reports MicroSectors FANG+ ETN (FNGS): ETF Research Reports The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.