According to a source with knowledge of the discussion, Alphabet Inc’s Google is in talks to acquire cybersecurity firm Mandiant for an undisclosed amount.
With the news reaching the market, Mandiant’s shares rose by 16%.
Mandiant has a market capitalization of around $4.53 billion, and focuses on cyber-incident response and cybersecurity testing.
If the deal goes through it is likely to bolster Google’s cloud computing business, which generates more than $19 billion annually although it loses billions of dollars a year. The potential deal could help it compete with bigger rival Microsoft Corp which has also shown interest in acquiring Mandiant.
Neither Google nor Mandiant immediately responded to requests for comments.