LONDON — Cybersecurity firm Wiz is aiming to reach $1 billion in annual recurring revenue next year, the company’s billionaire co-founder Roy Reznik told CNBC, adding that the company will go public “when the stars align.”
Wiz builds software that connects to cloud storage providers such as Amazon Web Services or Microsoft Azure and scans for anything it stores in the cloud, helping organizations identify and remove risks in their cloud environments. Founded by four Israeli friends while serving in 8200, the Israeli military’s intelligence unit, most of Wiz’s engineering staff is still based in Tel Aviv, Israel.
Earlier this year, the company rejected a $23 billion takeover bid Googlewhich would mark the tech giant’s largest acquisition yet. At the time, Wiz CEO Assaf Rappaport said the startup was “flattered” by the offer, but would remain an independent company and aim to list.
Speaking to CNBC at Wiz’s new London office space, Reznik said the company has received offers from “a lot of people who want to get their hands on Wiz stock” — but that, while “very flattering,” the company still believes it can only do so by going public.
“We’ve already broken a few records as a private company, and we believe we can also break a few more records as an independent public company,” Reznick said.
Four-year-old Wiz has raised $1.9 billion in venture capital to date, including a $1 billion secured this year in a funding round led by Andreessen Horowitz, Lightspeed Venture Partners and Thrive Capital at a $12 billion valuation.
In 2022, Wiz said it had reached $100 million in annual recurring revenue (ARR), up from just $1 million in 18 months. At that time, the startup he said was “the fastest software company to achieve this feat”.
Reznik, who is vice president of research and development at Wiz, said the company now hopes to double from the $500 million ARR it achieved this year and reach $1 billion in ARR by 2025, which CEO Rappaport cited as basic condition before the company enters the stock market.
UK expansion
Wiz is expanding its presence internationally, with a particular focus on Europe, where it derives 35% of its revenue. Last month, the company opened its first European office in London.
“I think the talent here is amazing and the ecosystem is amazing,” Reznick told CNBC. “We’ve always been very involved with Europe — and the UK in particular — and I feel like it’s a natural progression for Wiz to double down even more here in London and the UK.”
The UK represents a major growth opportunity in terms of cyber security, Reznik said, adding that recent events such as the cyber attack on NHS hospitals and an incident affecting Transport for London had “raised” the level of interest for the types of products Wiz offers.
“The cloud market is going to reach $1 trillion in the next few years,” Reznik, who moved from Israel to the UK just three months ago, told CNBC. “This year it’s going to be about $700 million, and insurance is just 4% of that, I’d say. So that makes it a $30 billion market, which is huge.”
Speaking about the UK market, Reznik said: “We’re seeing a lot of interest here. Many of the biggest banks and retailers are Wiz customers. But we also see huge potential for growth.”
Wiz’s clients include online retailer ASOS and digital bank Revolut as UK clients