Google's supposed $23 billion acquisition of the cybersecurity firm, Wiz, is now reportedly dead, and both companies will go their separate ways this time. This was because Wiz will be prioritizing its initial goals of pursuing an initial public offering (IPO), instead of selling the entirety of the company to Google's parent company, Alphabet, as previously rumored.
It was also supposedly Alphabet's largest acquisition to date, with this showing the company's massive interest in the startup.
Google's $23 Billion Wiz Acquisition is Now Dead
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As spotted by CNBC in an internal memo from Wiz co-founder, Assaf Rappaport, the Google acquisition of Wiz worth $23 billion is now dead. The Wiz executive addressed the company regarding this latest decision to go their separate way from Alphabet and Google, focusing more on achieving the milestones that it set when it started, doing so on their footing.
There is no official word from the likes of Alphabet, Google, and Wiz regarding the cancelation of this acquisition.
It was also reported that this could have been the biggest acquisition of Google and Alphabet to date, looking to buy the cybersecurity firm for $23 billion.
According to Rappaport, Wiz's decision to reject the merger was because of its plans to prioritize an initial public offering, centering on a massive goal of an annual $1 billion in revenue. This goal was previously set by the company before the said talks behind Google's merger deal, something the company will do on its own.
Should the acquisition have taken place, it was reported that this could have raised Wiz's valuation to as much as $12 billion.
Google's Acquisitions
Alphabet and Google may be massive entities known as being part of the Big Tech that have significant ventures in the different aspects of technology, but the company has not shied from acquisitions and mergers in the past. In 2022, the company acquired a company known as Raxium, centering on its development of micro LEDs, with Google's plans for it centering on its AR projects.
Last year was one of Google's most notable acquisitions so far, and this is the time that the company bought off DeepMind, a decision that would notably help in developing their plans in artificial intelligence. This merger led to the company launching a new AI development division known as Google DeepMind, responsible for its latest offers in generative AI.
The list of Google's acquisitions is still growing and did not end there, with different reported talks taking place earlier this year, including this recent one with Wiz. However, that will no longer happen as Wiz is looking to pursue an IPO, prioritizing its grassroots and wanting to stand on its feet, effectively killing off the supposed biggest acquisition of Google to date.
