Wiz Strengthens Application Security Through $450M Acquisition of Dazz

In a strategic move to bolster its vulnerability management capabilities, Wiz has acquired Dazz, an application security posture management startup led by the former head of Microsoft’s cloud security division. This acquisition aims to enhance the security measures ranging from code development all the way to cloud deployment.

According to a statement from Dazz co-founder and CEO Merav Bahat, the integration of Wiz’s cloud-native application protection platform with Dazz’s comprehensive root cause analysis and remediation functions is expected to create a consolidated vulnerability management system. The union will streamline enterprise operations and better support large organizations that are currently facing heightened cybersecurity threats.

“The opportunity presented by this joint solution is significant,” Bahat stated in an interview with Information Security Media Group. “Joining forces with Wiz allows us to scale our operations more effectively, providing us access to a larger customer demographic and an increased market share through a unified offering.” This collaboration will ensure a smoother experience for customers as they navigate their security needs.

Dazz, which commenced operations in 2021, has made impressive strides with a workforce of 125 employees and significant funding, including a recent $50 million investment led by Greylock. The company, which has garnered $110 million in total funding, is set to join Wiz for an acquisition sum of $450 million, as reported by sources with insider knowledge.

The acquisition is timely, leveraging overlapping customer bases and fulfilling a growing demand for integrated security solutions. Bahat notes that many enterprises currently utilize both Wiz and Dazz independently, a factor that bolsters the strategic rationale for this merger. The shared lineage from Microsoft among the founding teams further facilitates a collaborative effort that is poised to optimize the scaling process.

A key differentiator for Dazz lies in its emphasis on root cause analysis, which allows for accurate identification and remediation of vulnerabilities. Unlike competitors that focus primarily on detection, Dazz aims to deliver actionable insights that correlate issues across cloud environments, code, and CI/CD pipelines, enhancing prioritization and minimizing redundancy for security teams.

Following the acquisition, Dazz’s technology will be integrated into Wiz’s existing platform, aiming to create a cohesive architecture that benefits both current and future customers. This integration process is expected to occur without disrupting Dazz’s services, ensuring that its unique functionalities are seamlessly incorporated into the Wiz ecosystem.

The collaboration between Wiz and Dazz primarily targets large enterprises, including Fortune 500 companies, particularly within the technology and financial services sectors. Bahat emphasizes that Wiz’s expansive customer base will facilitate deeper penetration into upper mid-market and smaller enterprise industries, supporting Dazz’s strategic objectives to broaden its geographical reach and service offerings.

As the integration moves forward, both companies will closely monitor key performance indicators such as customer adoption rates of the unified platform and the speed of issue resolution. Bahat expressed confidence that the efficiency of the combined solutions would result in significant growth and improvement in customer satisfaction. The efficacy of this acquisition will serve to enhance overall security postures in a landscape increasingly challenged by sophisticated cyber threats.