- The European Commission unconditionally approves Google's acquisition of Wiz, valued at 32.000 billion.
- Brussels concludes that the operation does not reduce competition in cloud services and infrastructure in the EEA.
- Google strengthens its cybersecurity and multi-cloud environment strategy amid the expansion of AI.
- The approval comes after a detailed investigation with a special focus on the European market.
The European Commission has given its approval to one of the most relevant corporate transactions in the technology sector In recent times: Google's acquisition of the cloud security platform Wiz. The move, valued at around 32.000 millionIt has been authorized without conditions following a thorough investigation focused on the impact on the European market.
With this decision, Brussels confirms the integration of Wiz into the Google ecosystem. does not significantly alter competition in the European Economic AreaDespite being the largest acquisition in the history of the American giant, the deal, which will be paid entirely in cash, reinforces Google's commitment to cloud cybersecurity and the rapidly expanding multi-cloud environments. Artificial Intelligence.
Unconditional approval from the European Commission
The European Commission has concluded that the purchase of Wiz It will not have a negative effect on the European Economic Areaneither in cloud security services nor in the infrastructure they rely on. Although neither Google nor Wiz automatically exceeded the billing thresholds that require prior review, Google itself He asked Brussels to review the operation last July to clear up any regulatory doubts.
Had the company not approached the Commission directly, it would have had to submit the transaction for individual approval from several national regulators, including those of Cyprus, Ireland and SwedenThe voluntary request allowed the analysis to be channeled through a single community investigation, focused on verifying whether the purchase could restrict competition or access to key services in the European market.
During the process, Brussels gathered a wealth of information from enterprise customers, rival providers, and other players in the cloud ecosystemThe analysis focused on both cloud security services and the infrastructure that supports them, with a particular emphasis on how the integration of Wiz technology within Google Cloud and the rest of the group's products could affect them.
Following this examination, the Commission found that The cloud security and infrastructure sector remains highly diversified and that there are solid alternatives for customers in Europe. This plurality of options has been one of the key elements in ruling out risks of monopoly or market closure.
Competition with Amazon Web Services and Microsoft Azure
In its assessment, the Commission underlines that Google competes in the cloud infrastructure market with established providers such as Amazon Web Services (AWS) and Microsoft Azurewhich hold very strong positions globally and also in Europe. Multicloud security solutions, such as those offered by Wiz, allow companies to distribute and deploy your workloads across multiple clouds, including Google Cloud Platform.
Brussels believes that, even if Google decided more closely integrate the Wiz platform with their own services or, in the extreme scenario, if the tool were to cease being fully compatible with other clouds, European customers would still have several credible competitors to which to turn. Among them are specifically mentioned AWS and Azure, which have their own catalog of advanced security solutions.
The European body has also examined whether the acquisition could grant Google privileged access to commercially sensitive data from other cloud service providers which integrate with Wiz. Their conclusion is that the information Google could access after the operation It does not have such a delicate character as to alter the competition And, in addition, it is usually available to other security software companies that connect to those same environments.
This detailed analysis of data flow and interoperability between platforms has been fundamental in determining that the acquisition will not allow Google to block its rivals nor condition the freedom of choice of business users in the European Economic Area.
Brussels' message: no risks to competition
The Vice-President of the European Commission in charge of Competition, Teresa RiberaThe official account of the case has been clearly stated. According to the official, a thorough investigation has confirmed that The purchase of Wiz does not raise competition issues neither in cloud services nor in cloud security within the European Economic Area.
Ribera emphasized that, in the cloud infrastructure segment, Google is positioned behind Amazon and Microsoft in market shareThe regulatory analysis has verified that customers "will continue to have reliable alternatives and the ability to switch providers." This ability to switch relatively easily from one platform to another is, for the Commission, a guarantee that the operation will not reduce the level of competition.
The European Commission points out that the sector of Cloud security is growing rapidly And it is key to the digital transformation of businesses and public administrations across Europe. Precisely because of this strategic nature, Brussels has exercised extreme caution in reviewing the agreement, assessing whether it could stifle innovation or increase the cost of services for European users.
Following the analysis, the conclusion is that the presence of several large players and a diverse offering of multicloud solutions It keeps the market open and fosters innovationTherefore, the Commission has decided to authorize the acquisition without imposing additional conditions or remedies on Google.
A record-breaking operation in Google's history
Beyond the regulatory implications, the Wiz acquisition also stands out for its economic significance. The transaction, valued at 32.000 million (more than 26.000 billion euros), becomes Google's biggest acquisition everUntil now, the record was held by the purchase of Motorola Mobility in 2012, for about $12.500 billion.
In this case, the agreement has been structured to be carried out entirely in cashThis detail reflects the group's financial strength and determination to bolster its cloud business. The acquisition also has a certain air of revenge for Google, which previously attempted to acquire Wiz in 2016. July 2024 for about 23.000 billion and he failed to close the deal at that time.
The US company considers the acquisition of Wiz strategic to accelerate two major trends: firstly, raise the level of security in the cloud at a time of continuous increase in cyberattacks and, on the other hand, to boost the capabilities of its clients to work in multi-cloud environmentscombining different platforms according to your needs.
For Google, this move comes at a time of rapid expansion in artificial intelligence, a field in which the data protection and infrastructure resilience These are critical components. Having specialized technology to detect risks and vulnerabilities in different clouds is seen as a key element to remain competitive against other giants in the sector.
Impact on the European cloud market
From a European perspective, the authorization to buy Wiz fits with a dual objective: to allow large technology companies invest and improve their services on the continentand at the same time ensure that these operations do not restrict free competition. The analysis indicates that Google's move fits into an already very dynamic ecosystem.
The Commission has paid particular attention to the way in which the Multicloud solutions allow companies to diversify their business across different infrastructures, including those offered by Google, Amazon, and Microsoft. This ability to distribute workloads and data among multiple providers is considered one of the main antidotes against potential over-reliance on a single provider.
The research has also focused on whether integrating Wiz under the Google umbrella could hinder other operators' access to essential services or disrupt technical interoperability in the cloud. The findings indicate that these risks will not materialize, therefore users in the European Economic Area They will maintain a wide range of options to contract and combine security solutions.
Furthermore, the presence of several large global players, along with numerous specialized suppliers, helps European companies to... negotiate better terms and pricesThis is especially relevant in a context of strong pressure to digitize without skyrocketing costs.
Brussels' green light, therefore, not only unlocks a multi-million euro operation, but also sends the signal that, provided an adequate level of competition and real alternatives for users are preserved, The European Union is willing to facilitate corporate movements that strengthen digital security and cloud innovation.
With final authorization, Google can begin integrating Wiz into its global offering and its services in Europe, aiming to strengthen its position in cybersecurity and multicloud environments. For the European market, the operation translates into more technical capabilities and new tools to protect data and applications, within a scenario where artificial intelligence and cloud computing will continue to be key players in the next decade.