Wiz turned down €23 billion from Google. They prefer to bet on themselves

Cybersecurity startup Wiz became the star of the segment a few days ago when Google (through its parent company Alphabet) made a $23 billion offer to acquire it. If completed, it would be the largest acquisition in the company’s history.

However The offer was rejected by the company.Assaf Rappaport, Wiz’s CEO, made the announcement in an internal message to employees that Bloomberg obtained.

In his statement, Rappaport acknowledged that “it’s difficult to turn down such modest offers, but with our exceptional team, I feel confident in making this decision.” He then added that he wants to “get down to business” and continue the company’s next goals.

Which are nothing other than those, bet on yourselfThe CEO noted that his intention is to achieve $1 billion in annual recurring revenue and then eventually go public.

The acquisition would further solidify Google’s commitment to cybersecurity. The company bought Mandiant for $5.4 billion in March 2022, and a decade earlier, in 2012, it bought the Spanish company VirusTotal.

However, the operation with Wiz could have been rejected by regulatorswhich could threaten competitiveness in this area.

With Rappaport’s decision, such scrutiny will no longer be carried out, and in effect his company has gained publicity that will now be able to increase revenues, as he wanted.

The company, founded in 2020, has estimated value of about $12 billionAccording to those in charge, 40% of Fortune 100 companies are its clients, and its annual recurring revenue currently stands at $350 million.

There’s still a long way to go, but it’s encouraging that some companies are betting on themselves rather than succumbing to tempting exits and multi-million dollar acquisitions like the one they offered Google.

Image | Maurizio Pesce

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