Google's $32 billion acquisition of Wiz was fast-tracked during the Trump administration, sources claim.

NEW YORK, March 18 – Less than a year after Google’s attempt to acquire Israeli cybersecurity firm Wiz fell apart, the deal was finalized following a series of negotiations accelerated by the recent inauguration of U.S. President Donald Trump.

Google increased its original $23 billion offer from July to $32 billion, making it one of the largest tech acquisitions ever. The revised deal also included a higher breakup fee of over $3.2 billion. Sources familiar with the matter said that the change in U.S. leadership contributed to the agreement, as executives anticipated a more favorable antitrust review under the Trump administration.

Google had previously made another offer in the fall while Wiz was considering an initial public offering (IPO). However, after Trump’s inauguration on January 20 and the appointment of key antitrust officials, negotiations gained momentum. Wiz’s new CFO, Fazal Merchant, and CEO Assaf Rappaport played crucial roles in finalizing the deal, along with Google Cloud chief Thomas Kurian.

Wiz executives found the revised proposal hard to decline, as it increased the company's valuation by 39% and included a breakup fee exceeding 10% of the deal’s value. The fee, which compensates Wiz if the acquisition falls through due to regulatory hurdles, was unusually high compared to typical corporate mergers, which average between 4% and 7% of the transaction value.

While it is unclear whether Google and Wiz preemptively engaged U.S. antitrust authorities before signing, the deal was influenced by concerns over regulatory scrutiny. Wiz executives were cautious after Adobe’s failed $20 billion bid for Figma in late 2023.

Google had initially offered a $2 billion breakup fee, but Wiz’s investors feared regulatory opposition from then-Federal Trade Commission (FTC) Chair Lina Khan. Confidence in the deal increased with Trump’s appointments of Andrew Ferguson as FTC Chair and Gail Slater to oversee antitrust reviews at the Justice Department.

Google, Wiz, the White House, and Justice Department officials have not yet commented on the agreement. Bank of America advised Google on the acquisition, while Goldman Sachs represented Wiz.