The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch This Week in SaaS: Should Wiz Have Accepted Google's $23BN Acquisition Offer, Crowdstrike: WTF Happens From Here: The Bull and the Bear Case & $1BN into Legal Tech in a Day with Clio and Harvey with Jason Lemkin
45 snips
Jul 24, 2024 
Jason Lemkin, a pioneering SaaS investor and founder of the large SaaS community SaaStr, delves into pivotal industry topics. He analyzes Wiz's bold decision to reject Google's staggering $23 billion offer, debating potential IPO strategies and regulatory hurdles. The discussion shifts to CrowdStrike, scrutinizing their crisis response and future market position, while pondering the duality of their bull and bear cases. Additionally, Lemkin highlights the explosive growth in legal tech, with Clio's recent impressive funding round setting a vibrant tone for the sector's future.
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Wiz Valuation
- Wiz's $23B valuation isn't expensive considering its rapid growth and forward ARR.
- It's consistent with high-growth SaaS companies like CrowdStrike.
Strategic Acquisitions
- Large tech companies like Google use acquisitions strategically, especially during times of growth.
- These acquisitions are seen as "chips" to fuel further expansion, even if expensive.
Wiz and Google Negotiation
- Google likely approached Wiz with an offer around double their last round.
- The quick negotiation suggests the decision hinged on factors beyond price.