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Comment by film42 | Hacker News Reader

It's smart defense, great offense, and a good product behind it. Each eat a big chunk of that $100B target. I don't see Wiz as a 10 year company, I see it as a forever requirement for companies to manage all of their cloud resources (across all providers). It will be here as long as GCP/AWS are here. I expect a short path to ROI on this one.

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Consider that AWS's entire operating income for 2024 was $40B. GCP is 1/5th the size. I admire your optimism, but I think it's unwarranted.

So why do you think Google is making this acquisition?

Wiz is a recognized leader in the CNAPP/DevSecOps market, and so they'd be naturally attractive to any cloud hyperscaler. Google had to either build or buy a similar solution to grow GCP; and they chose to buy. But $32B is an enormous hunk of cheddar, and I don't know why they felt compelled to pay that much. The ROI on such a large investment is unclear.

It gives them (legally debatable) visibility into how customers are using their competitions products. That's part of the reason it didn't happen under the Biden administration. Trump is very much against enforcing anti-competition laws though, so the deal suddenly began to make sense again.

Google would have to be contractually bound not to do that, or Wiz customers would flee like rats off a sinking ship, which would significantly devalue their investment.

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