GoogleOn Tuesday it was officially announced that plans to buyCybersecurity firm Mandiant for around $5.4 billion as part of an effort to better protect its cloud customers.

Mountain View Search giant stated it would pay $23 per share to the public-traded firm. It was established in 2004.

Mandiant joins Google’s cloud computing business if it goes through. It is still growing to the same extent as Google’s other divisions. Microsoft Azure or AmazonWeb Services

“Organisations all over the globe face unprecedented cybersecurity problems as the sophistication of attacks used to attack major governments have now been used to target businesses in every industry,” Thomas Kurian CEO, Google Cloud said in a statement.

He said, “We are looking forward to welcoming Mandiant into Google Cloud to enhance our security operations suites and advisory services and to help customers solve their most pressing security problems.”

It is anticipated that the deal will close in the second half of this year.

The shares of Mandiant closed up 16% Monday after The Information reportedThis Google was interested in acquiring the company.

Mandiant has a market worth around $5.25billion. It was once under FireEye before it was sold. FireEye has been credited with helping Microsoft discover the SolarWinds hack that attacked government systems last year.

Dan Ives, analyst at Wedbush, stated in Tuesday’s note to investors that cyber attacks are increasing and cyber warfare is underway from Russia/state-sponsored cyber terrorism organisations. Google is looking to increase its cyber security footprint with Mandiant and to distinguish itself from Amazon and Microsoft in the cloud arms race.

Ives stated that his company expects to see a significant ripple effect in the cybersecurity industry as a result of the agreement.

“Cloud stalwarts Amazon and Microsoft will now be pressured into M&A and further bulk up its cloud platforms,” he said.

“We believe cyber names such as Varonis, Tenable, CyberArk, Qualys, Rapid7, SailPoint, and Ping standout as potential M&A candidates in cyber security (among a handful of private players) given these vendors laser focus on protecting next generation cloud workloads from cyber attacks.”

Cybersecurity stocks have, at times, been resilient in the current market as most stocks see a heavy sell-off amid Russia’s invasion of Ukraine.

— Additional reporting by CNBC’s Sarah Alessandrini.