Google is all set to buy cyber security company Mandiant for $5.4 billion as it looks forward to boosting its cloud computing business. The $23 per share deal will make it Google’s second-largest acquisition.
We are excited to announce that we've signed an agreement to join the @GoogleCloud family — bringing together some of the best minds in security! Read more here: https://t.co/SaDIwDUOM5 pic.twitter.com/FrCH2fE4wd
— Mandiant (@Mandiant) March 8, 2022
Kevin Mandia is the founder of this company. FYI, Kevin is a retired US Airforce officer. The company provides incident response and general security consulting along with incident management products to major companies. It includes global organizations, Fortune 100 companies and governments.
What’s the importance?
Google has made three major acquisitions to date, including the recent Mandiant deal:
- $12.5 billion Motorola Mobility deal (2012), but Google sold it to Lenovo for $2.9 billion in 2014.
- $3.2 billion deal to buy Nest, a smart home product maker (2014)
- $5.4 billion Mandiant deal to bolster its cloud computing unit
This means Google is making its second-largest acquisition ever. This will boost Google’s security operations, and other tech giants are going bonkers! The Mandiant purchase will help Google enhance Google Cloud. This step comes as an attempt to overtake rival companies like Microsoft, which offers cyber security through the Azure cloud platform.
The deal is sealed
Mandiant will join the Alphabet unit’s cloud computing division. Well, it’s yet to grow to the same size as Azure. The CEO of Google Cloud, Thomas Kurian said.
“Organizations around the world are facing unprecedented cybersecurity challenges as the sophistication and severity of attacks that were previously used to target major governments are now being used to target companies in every industry.”
Google is looking forward to welcoming Mandiant to Google Cloud by the end of this year. And be rest assured, it is going to be a giant move towards enhancing Google’s security operations suite and advisory services.
Cybersecurity comes first
Cyberattacks have become common even among the most advanced companies. The most recent report by the World Economic Forum, “Global Cybersecurity Outlook Report:2022” reveals:
“The accelerated shift to remote working during the COVID-19 pandemic coupled with recent high-profile cyberattacks have resulted in bringing cybersecurity top of mind among key decision-makers in organizations and nations.
Despite the growing cognizance of cyber risks, decision-makers and cyber experts are often not on the same page in terms of prioritizing cybersecurity, integrating cyber risk into business strategy and integrating cyber leaders into business processes. Much still needs to be done towards strengthening cyber resilience.”
This report suggested several key findings, one of them being, that 81% of surveyed companies believe that digital transformation is the main driver in improving cyber resilience.
The accelerating pace of digitalization due to the COVID-19 pandemic and the shift of our working habits is pushing cyber resilience forward. As many as 87% of executives are planning to improve cyber resilience at their organization by strengthening resilience policies, processes and standards for how to engage and manage third parties.
One thing is sure. Google has taken a step forward to close a $5.4 billion deal to buy Mandiant. The reason is simple. Mandiant believes in performance. It has delivered unparalleled expertise and industry-related threat intelligence.
The American cybersecurity firm has more than 600 consultants across the globe and 300 intelligence analysts. These analysts provide deep insights through a multi-managed XDR platform called Mandiant Advantage.
Find the Chief Information Security Officer of Google, Phil Venables’s tweet below:
Excited to share this great news. @Mandiant’s proven expertise in incident response and advisory services will help Google Cloud enhance our security offerings and deliver an end-to-end solution for enterprises. https://t.co/mOcLYcMCZc
— Phil Venables (@philvenables) March 8, 2022
Guess what? People can’t stop tweeting. Look at this:
Oh shit, Google have spoiled all my Microsoft Mandiant jokes.
Also, Microsoft probably want to stop sharing IOCs with Mandiant under the desk since they're fuelling a competitor. https://t.co/Md6Tol5j0f
— Kevin Beaumont (@GossiTheDog) March 8, 2022
FYI, Mandiant’s shares have jumped up. They closed up 16% on the Nasdaq on Monday after the signing of this deal. Do you think it’s wise to invest?
What do you think about the Google-Mandiant deal? How is it going to affect Microsoft? Let me know your thoughts.