Google Completes $32 Billion Acquisition of Wiz

Google's acquisition of Israeli cybersecurity company Wiz, valued at approximately $32 billion, is set to officially close this week. Signed in March 2025, this deal marks the largest exit in Israeli high-tech history. The acquisition has successfully navigated a series of regulatory approvals, including significant endorsements from the U.S. Department of Justice and the European Commission, which determined that the deal would enhance competition against major cloud service providers like Amazon's AWS and Microsoft’s Azure.

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The acquisition is expected to generate substantial tax revenue for the Israeli government, with conservative estimates suggesting around NIS 10 billion (approximately $3.2 billion) will flow into the state treasury. This revenue will primarily come from capital gains taxes on Wiz's founders, who collectively own about 30% of the company, as well as from taxes on employees who will receive significant payouts from the acquisition.

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Wiz's founders—Assaf Rappaport, Yinon Costica, Ami Luttwak, and Roy Reznik—each hold approximately 10% of the company and are projected to receive around $3 billion each after taxes. Index Ventures, one of the largest investors with a 12% stake, is expected to gain about $3.8 billion. Cyberstarts, which initially invested in Wiz, holds a 4%-5% stake and is anticipated to receive between $1.3 billion and $1.6 billion, representing a remarkable return of roughly 200 times its original investment.

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Wiz currently employs around 1,800 individuals globally, with approximately 1,000 based in Israel. Many employees hold stock options and shares valued at about $3 billion. In addition to these payouts, Google has allocated around $1.5 billion in retention bonuses for employees who remain with the company post-acquisition, further incentivizing staff continuity.

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While the acquisition is celebrated as a significant milestone for the Israeli tech sector, it has raised concerns regarding potential inflationary pressures on housing prices in Tel Aviv, as many employees are expected to become millionaires. The deal's timing has also been scrutinized due to fluctuations in the shekel-dollar exchange rate, which has impacted the final amounts received by founders and investors.

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• “regulators were convinced that the acquisition of Wiz would strengthen competition against Amazon’s AWS and Microsoft’s Azure rather than harm competition in the cloud market.” — U.S. Department of Justice

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The formal announcement of the acquisition's completion is expected during a special Sales Kickoff event in Las Vegas, where Wiz will brief its sales team on integrating its products into Google's cloud division. Following the deal's closure, tax revenues are anticipated to enter the Israeli state coffers within 30 days, likely by mid-April 2026.

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