Google Stock is highly undervalued at current levels

When I first heard about Google’s plan to acquire Wiz for $32 billion last Tuesday, I nearly spilled my morning coffee. As someone who’s been tracking the tech market’s ups and downs for years, this deal feels like more than just another corporate acquisition—it might be the signal flare we’ve all been waiting for in a dormant IPO landscape.

The Deal That Almost Wasn’t

What fascinated me most about this story isn’t just the eye-popping price tag (though $32 billion certainly gets your attention). It’s that just a few months ago, Wiz CEO Assaf Rappaport turned down Google’s initial $23 billion offer, publicly flirting with the idea of taking his company public instead. That Google returned to the table with an additional $9 billion speaks volumes about how desperately they wanted this Israeli cybersecurity startup.

I can’t help but wonder: Is this the first domino to fall in what could become an avalanche of tech deals in 2025?

Green Shoots in the Market Desert

After years of watching would-be IPO candidates sit on the sidelines, I’m starting to see promising signs of life:

• SailPoint took the plunge in February with their public offering
• Just last Thursday, CoreWeave (those folks who sell Nvidia’s AI processors) announced plans to raise a whopping $2.7 billion
• And StubHub (yes, the ticket folks) filed their IPO paperwork on Friday

I’ve been chatting with several industry analysts who believe we’re finally approaching the end of the IPO winter. CB Insights just released a report Tuesday identifying cybersecurity solutions as prime acquisition targets for 2025—timing that couldn’t be more perfect with the Wiz announcement.

Why I’m Betting on Cybersecurity

Remember back in late 2022 when ChatGPT burst onto the scene? Since then, I’ve watched with equal parts fascination and horror as hackers have leveraged similar AI tools to create increasingly sophisticated attacks.

As Merritt Maxim from Forrester explained to me last week, “Having a more complete offering for securing workloads in the cloud—that’s the core, the rationale behind [the Wiz] deal.”

I’ve spent countless hours talking with CIOs and security professionals who describe the same challenge: the dual explosion of AI capabilities and cloud migration has created security vulnerabilities that keep them up at night.

As my friend Neil Barlow (a partner at Clifford Chance who specializes in these deals) put it bluntly: “Hacks and phishing could effectively cause a business to crash. This is a business that is fundamental to operating, so cybersecurity has been a resilient area for quite some time.”

The Chess Game Between Tech Giants

What I find particularly intriguing about Google’s move is how it might force other players to respond. I’ve been following AWS closely, and as Forrester’s Maxim noted in our conversation, “The Google-Wiz tie-up does give them some capabilities that make them stronger than AWS in some areas. AWS could target acquisitions to potentially bring their solution closer to Google.”

I’ve got my eye on three companies that might be in AWS’s crosshairs: Aqua Security, Orca Security, and Sysdig. If I were a betting person (and sometimes I am), I’d wager we’ll see movement there before the end of summer.

My IPO Watch List

So who’s next to test the public markets? Based on conversations with industry insiders and my own analysis of the market, I’m keeping close tabs on these players:

• Proofpoint: I remember when they went private in 2021 in that massive $12.3 billion Thoma Bravo deal. They told CNBC in October they’re exploring an IPO within the next year or so.
• Illumio: I’ve been following them since they made the CNBC Disruptor 50 list back in 2017-2018. Their data center and cloud security offerings position them perfectly for today’s market challenges.
• Netskope: Thirteen years is a long time for early investors to wait for liquidity. When they told The Wall Street Journal last year about their 2025 IPO plans, I made a note on my calendar.
• Snyk: I’ve watched them grow from a scrappy startup to a $7.4 billion valuation powerhouse. When CEO Peter McKay announced they’d crossed $300 million in annual recurring revenue, that put them squarely in IPO territory.

The Million (Billion?) Dollar Question

The burning question I keep asking myself: Is now finally the time for these companies to rip off the Band-Aid and go public? Or will we see another round of “maybe next quarter” as market volatility continues?

I’ve lived through enough market cycles to know that timing is everything. But I also believe that in a world where digital security has become as essential as physical security, the companies that can truly innovate in cybersecurity will find eager investors—whether through IPOs or acquisitions like Wiz.

One personal prediction I’m willing to make: The combination of AI’s insatiable demand for computing resources and the ever-present threat of cyberattacks means this sector will only grow more crucial in the coming years. Whether you’re an investor, a tech professional, or just someone who cares about keeping your digital life secure, the ripple effects from Google’s Wiz acquisition will be felt for years to come.

What do you think? Is this the beginning of the great tech IPO renaissance we’ve been waiting for? I’d love to hear your thoughts.