Microsoft has dropped out of talks to acquire security firm Mandiant, with Google taking its place as the likely buyer.
In mid-February, reports indicated Microsoft was in talks to acquire Mandiant in an effort to further its cybersecurity presence. Mandiant has a long history in the cybersecurity market, and was viewed as a good fit for Microsoft.
According to The Seattle Times, Microsoft has withdrawn from the negotiations, concerned Mandiant’s services and tools weren’t quite the match some analysts thought. Google is reportedly now pursuing a deal.
Google is in third-place in the cloud market. Purchasing Mandiant could help the company gain impetus in its efforts to acquire additional customers, especially security-conscious ones, as well as better protect the customers it has.
As the Times points out, with a valuation of more than $5 billion, this could be the largest acquisition in Google’s history, with the exception of Motorola Mobility.