Israeli cybersecurity firm Wiz, which has walked away from a $23 billion acquisition bid by Google father or mother firm Alphabet, has been awarded a young by Israel’s Ministry of Finance to offer cloud safety providers for presidency ministries, “Globes’ has realized from sources aware of the matter. This is among the greatest authorities cybersecurity tenders ever issued.
The corporate will present providers in Israel by means of the Israeli software program distributor Accel Options Group (TASE: ACCL). On Monday, Accel introduced it should present authorities cloud safety providers by means of its subsidiary Danet, with out mentioning Wiz’s identify, the identification of the consumer or the scale of the deal. From an investor presentation revealed by the corporate final quarter, it seems that Wiz is one in all its largest software program suppliers.
So far as is thought, Wiz and its software program distributor, Danat, beat Palo Alto Networks and Verify Level, which bid for the tender with Binat. The tender has a income potential of tens of tens of millions of shekels per yr, and the winner will probably be a particular provider in each authorities cloud safety undertaking in any respect ministries, in addition to numerous authorities, and state-owned firms like Mekorot, Israel Electrical Corp., hospitals, well being funds and the safety forces..
“Globes” realized that Danat proposed the bottom bid among the many rival bids in addition to the best low cost charge within the tender: 96.8%, this in comparison with the low cost charge of “solely” 88.5% provided by Binat. It was additionally realized that Binat’s high quality rating was barely larger than Danat’s within the tender. On the identical time, the Ministry of Finance Accountant Normal tends to acquire cheaper merchandise in tenders if the standard scores of the totally different suppliers are shut to one another.
The excessive low cost charge of the software program distributors is an affidavit to the outrageous reductions carried out within the aggressive cybersecurity market with a purpose to win tenders, and much more so within the authorities sector. This explains why cybersecurity firms have issue exhibiting profitability. So far as is thought, Wiz loses about $30 million per quarter, whereas Accel, the distributor of its software program within the authorities undertaking, ended the primary quarter of 2024 with practically NIS 3 million revenue.
No response to this report was forthcoming from the Ministry of Finance, Danat, father or mother firm Accel and Wiz.
