Google to buy Wiz for $32B

Original Article ↗ Hacker News Discussion ↗

Valuation and Deal Size

  • Many commenters are stunned by the $32B all‑cash price, noting estimates of ~$500M–$1B ARR imply ~30–60x revenue, even for a fast‑growing SaaS business.
  • Comparisons are made to WhatsApp/Instagram and YouTube: those were consumer networks or patent plays; Wiz is niche B2B SaaS, so justification feels less obvious to many.
  • Some argue the price reflects future growth plus strategic value (blocking rivals, upselling GCP, defensive move), others see it as gross overpayment or even “money laundering”/nepotism.

What Wiz Actually Does

  • Multiple practitioners describe Wiz as a CNAPP/CSPM platform:
    • Connects to cloud accounts (AWS, Azure, GCP, others) with high read privileges.
    • Snapshots disks/volumes agentlessly to scan for vulnerabilities, secrets, malware.
    • Maps resources and relationships via a graph engine, surfaces misconfigurations, over‑permissive IAM, exposed services, compliance violations, etc.
    • Provides rich dashboards, query language, policy‑as‑code (OPA), and integrations to route findings to teams.
  • Users generally praise its UX, power, and ease of onboarding (“5 minutes per tenant”), calling it best‑in‑class and far ahead of many legacy competitors.

Strategic Rationale for Google Cloud

  • Several see this as part of Google Cloud’s push to differentiate on security (after Chronicle, Mandiant) rather than raw infrastructure where AWS/Azure dominate.
  • Wiz is already native on GCP Marketplace and reportedly used by many large enterprises; acquiring it gives Google:
    • A “beachhead” in non‑GCP Fortune 100 accounts.
    • A sales lever to win cloud migrations (“we’re the most secure cloud”).
    • A ready‑made, highly regarded security product line.

Multi‑Cloud, Antitrust, and Customer Impact

  • Big open question: will Wiz remain truly multi‑cloud?
    • Some expect Google to keep AWS/Azure support to preserve value and use it as a “second cloud” bridge.
    • Others predict slow degradation of non‑GCP support, driving customers to competitors (Orca, Prisma, CrowdStrike, etc.).
  • Antitrust concern is seen as lower than in ads/search because cloud security is highly fragmented with many alternatives.

Data Access, Privacy, and Espionage Concerns

  • Strong thread worries about Wiz’s deep read access to government and Fortune 500 clouds: snapshots, installed packages, exposed secrets, runtime sensors with high privileges.
  • Some speculate Google could use aggregated Wiz data to:
    • Profile AWS/Azure usage and undercut them in deals, or
    • Even feed AI models or analytics.
      Others counter that contracts, audits (SOC2, FedRAMP, GDPR, etc.) and customer backlash would make such use legally and commercially suicidal.

Google Culture and Product Track Record

  • Skeptical voices highlight Google’s spotty history with acquisitions (Nest, Fitbit, Stadia), fear innovation will stall and multi‑cloud features will wither.
  • Recurrent criticism: weak enterprise account management and support vs AWS/Microsoft; some doubt Google can fully capitalize on Wiz’s enterprise footprint.

Ethics, Politics, and Sales Tactics

  • Much debate around Wiz’s founders’ Unit 8200 background and an associated VC’s CISO “loyalty program,” described in reports as bordering on kickbacks; some see this as explaining ultrafast growth.
  • A political subthread frames the deal within US–Israel ties and lobbying; others dismiss these angles as conspiratorial and unrelated to the core business logic.