CynergisTek Reports an Uplift in Professional Services from Organizations Who Delayed Cybersecurity Plans Due to Covid-19

Rhea-AI Summary

CynergisTek (CTEK) has secured a nearly $700,000 professional services agreement with a new health system, providing virtual CISO and cybersecurity analyst resources. The demand for these services is heightened by a 260% increase in cyberattacks in healthcare, prompting organizations to prioritize security projects in 2021. CEO Caleb Barlow emphasized that the cybersecurity talent shortage is driving the need for professional services and indicated a resurgence in critical cyber-hygiene initiatives post-COVID-19.

Positive

• Secured a $700,000 professional services agreement.
• Increased demand for cybersecurity services due to 260% rise in cyberattacks in healthcare.
• Indication of organizations re-engaging in critical cybersecurity efforts after COVID-19.

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• None.

CynergisTek (NYSE AMERICAN: CTEK), a leading cybersecurity firm helping organizations in highly regulated industries, including healthcare, navigate emerging security and privacy issues, today announced a nearly $700,000 professional services agreement with a new health system. CynergisTek will provide its client, who has multiple locations, with virtual CISO and cybersecurity analyst resources to supplement its existing staff.

Market conditions have shifted with remote work, a growing threat landscape, increased cyberattacks in healthcare by 260%, and attention from board-level executives with an interest in security, resulting in more organizations making security projects a priority in 2021. CynergisTek’s professional services extends a client’s capabilities with experienced cybersecurity resources to strengthen their cyber defenses including remediation, strategy, policy and procedure development, and project management.

“The shortage in skilled cybersecurity professionals plays an integral role in the demand for our professional services and is also an indication that the healthcare industry is starting to address the assault of ransomware attacks it experienced in late 2020. We take pride in finding and retaining best-in-class talent to support our clients in building and remediating their risk management, security architecture design and solutions engineering, vulnerability management, and incident response projects where they don’t have the resources, knowledge, and time to address growing risks and cyber threats to its organization,” said Caleb Barlow, CEO and president at CynergisTek. Mr. Barlow went on to say, “This is a good sign that organizations who delayed critical cyber-hygiene activities due to the outbreak of Covid-19 are starting to reengage third-party consultants in 2021.

About CynergisTek, Inc.

CynergisTek is a top-ranked cybersecurity firm dedicated to serving the information assurance needs of the healthcare industry. CynergisTek offers specialized services and solutions to help organizations achieve privacy, security, and compliance goals. Since 2004, the company has served as a partner to hundreds of healthcare organizations and is dedicated to supporting and educating the industry by contributing to relevant industry associations. In 2020, the company was awarded Black Book’s Top Healthcare Cybersecurity Consultants for two consecutive years.

Forward-Looking Statements

This release contains certain forward-looking statements relating to the business of CynergisTek that can be identified by the use of forward-looking terminology such as “believes,” “expects,” “anticipates,” “may” or similar expressions. Such forward-looking statements involve known and unknown risks and uncertainties, including uncertainties relating to product/service development, long and uncertain sales cycles, the ability to obtain or maintain patent or other proprietary intellectual property protection, market acceptance, future capital requirements, competition from other providers, the ability of our vendors to continue supplying the company with equipment, parts, supplies and services at comparable terms and prices and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Certain of these risks and uncertainties are or will be described in greater detail in our Form 10-K and Form 10-Q filings with the Securities and Exchange Commission, which are available at http://www.sec.gov. CynergisTek is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210126005792/en/

FAQ

What is CynergisTek's latest professional services agreement?

CynergisTek has entered a nearly $700,000 agreement to provide cybersecurity resources to a new health system.

How much has cyberattacks increased in healthcare?

Cyberattacks in healthcare have increased by 260%.

What services are included in CynergisTek's agreement?

The agreement includes virtual CISO and cybersecurity analyst resources.

What is driving the demand for CynergisTek's services?

The shortage of skilled cybersecurity professionals and increased cyber threats are driving the demand.

How is CynergisTek responding to the cybersecurity talent shortage?

CynergisTek is focused on finding and retaining top cybersecurity talents to support its clients.