FILE PHOTO: Alphabet logo is seen near computer motherboard in this illustration taken January 8, 2024. REUTERS/Dado Ruvic/Illustration/File Photo
(Reuters) -Google-parent Alphabet is in advanced talks to acquire cybersecurity startup Wiz for around $30 billion, a source familiar with the matter said on Monday, potentially marking the tech giant's largest deal to date.
The deal hasn't been signed and could still change, the person said.
Alphabet and Wiz did not immediately reply to Reuters requests for comment.
The Wall Street Journal on Monday first reported the news of the talks between the companies, citing people familiar with the matter.
Wiz had called off a $23-billion deal with Alphabet last year to focus on its initial public offering.
The startup provides cloud-based cybersecurity solutions powered by artificial intelligence that help companies identify and remove critical risks on cloud platforms.
A buyout of this size will most likely face regulatory scrutiny as tech giants are kept under close watch for possible monopolistic practices.
If the deal goes through, it could help Alphabet tap into the cybersecurity industry and expand its booming cloud infrastructure segment, which generated more than $43 billion in revenue last year.
Alphabet walked away from a deal to acquire online marketing software company HubSpot last year.
Interest in the cybersecurity industry has surged since the global CrowdStrike outage last year, making enterprises more concerned about protecting their digital infrastructures.
Wiz was last valued at $12 billion in a private funding round in May 2024.
(Reporting by Zaheer Kachwala and Seher Dareen in Bengaluru and Krystal Hu; Editing by Pooja Desai)
