Cybersecurity firm Wiz is set to fortify the United Kingdom’s status as a burgeoning global tech hub by opening its inaugural European headquarters in London. This strategic move comes shortly after the company turned down a $23 billion (£18 billion) acquisition offer from Alphabet, Google’s parent company.
Roy Reznik, co-founder and head of research and development at Wiz, will relocate from Israel to London to oversee the new office. This relocation underscores the company’s ambitious expansion plans in the region. Wiz intends to increase its UK workforce by 100 employees by the end of this year, aiming to derive 35% of its total revenue from Europe, the Middle East, and Africa by the end of next year.
Currently, Wiz’s UK staff operates remotely with a focus on sales and marketing. The recruitment drive will encompass building up its engineering, research, and development teams. The company’s services involve scanning data on cloud storage providers, such as Amazon Web Services and Microsoft Azure, to identify security risks. Wiz collaborates with prominent companies including Asos, the Bank of England, and Revolut in the UK, as well as Shell, BMW, and LVMH in Europe.
“The UK is a region with many leading global brands and top tech talent, which is why we see it as key to the growth and expansion of Wiz,” Reznik stated. He further highlighted the exponential growth potential within the cloud sector, citing that only 10% of data has migrated to the cloud thus far.
In the previous year, Wiz reported annual revenues of $350 million and is on track to achieve $500 million this year, with a long-term goal of reaching $1 billion in annual revenue. The company had been in acquisition talks with Alphabet as part of the tech giant’s strategy to compete with rivals Microsoft and Amazon in the cloud services market. Nevertheless, Wiz ultimately decided to maintain its focus on growth and pursue an eventual initial public offering (IPO).
Concerns regarding regulatory approval loomed over the potential deal with Alphabet amid increasing scrutiny on major tech mergers. In contrast, US-based regulatory bodies such as the Department of Justice and the Federal Trade Commission have been vigilant in their oversight of dominant players in the AI market. Examples include Adobe’s abandoned $20 billion takeover of Figma due to regulatory challenges from European and UK authorities.
In a significant financial milestone, Wiz raised $1 billion at a $12 billion valuation in a funding round led by Andreessen Horowitz, Lightspeed Venture Partners, and Thrive Capital. Since its founding in 2020, the company has secured $1.9 billion in total funding.
Wiz’s establishment of its European headquarters in London signifies a substantial commitment to expanding its footprint in the UK and surrounding regions. This strategic move solidifies the company’s vision for growth, while reinforcing the UK’s reputation as a pivotal player in the global technology landscape.