Toronto, Ontario--(Newsfile Corp. - December 18, 2024) - Cybeats Technologies Corp. (CSE: CYBT) (OTCQB: CYBCF) ("Cybeats" or the "Company"), a leading provider of software supply chain security solutions, today announced significant advancements in commercial growth and corporate initiatives, solidifying its leadership role in the growing SBOM ("Software Bill of Materials") Management market.
Commercial Highlights:
- Over $7 million in total contract commitments since commercialization (May 2022), 80%+ gross margin, amidst increasing SBOM regulation across industry
- 72% of existing Cybeats customers increased their contract spend with the Company in 2024, demonstrating strong value to existing clients, and further validating the business model of Cybeats
- Attractive client metrics with 90% conversion from Proof of Value, or a pre-commercial pilot period, to long term customer relationships.
- The Company continues to drive growth and add client logos from its core target markets of healthcare and manufacturing companies from the Fortune 500
- $1.65 million raised in non-brokered private placement first tranche improves Cybeats' sales and marketing infrastructure, product delivery, and core product advancement
"Our strong contract commitments, client retention, and increased product demand reflects the trust that global organizations place in Cybeats to secure their software supply chains," said Justin Leger, CEO of Cybeats. "Our lean operation mixed with our recurring revenue model should ensure sufficient capital to scale beyond our recent capital raise. And with a strong pipeline and growing customer base, we are well-positioned to deliver long-term value for our clients and investors as we enter 2025."
Growing SBOM Adoption in 2025
In Altitude Cyber's October 2024 Cybersecurity Market Review, they reference Blackberry's research into the software supply chain landscape, with 64% of global organizations experiencing significant financial losses due to supply chain vulnerabilities in 2024, a sharp increase from 49% in 2022.
As cyber threats grow in complexity, 79% of surveyed companies either request or plan to request SBOMs from their vendors to enhance transparency and security.1
This growing demand for SBOM solutions reflects the need for tools to address visibility gaps and regulatory compliance, further underscored by the increasing reliance on third-party software. Cybeats is strategically positioned to capitalize on this market evolution, offering innovative SBOM management tools that empower organizations to navigate these challenges efficiently and proactively.
"The findings highlight a critical shift in the cybersecurity landscape, with SBOM adoption becoming a cornerstone of supply chain security," said Dino Boukouris, Managing Partner of Altitude Cyber. "Market trends show that organizations are prioritizing transparency and collaboration to combat the growing complexity of supply chain vulnerabilities."
Benefits of SBOM Adoption
SBOM Studio delivers measurable ROI by streamlining software vulnerability management, enhancing supply chain transparency, and supporting regulatory compliance. As a trusted solution for large multinational enterprises, SBOM Studio empowers organizations across industries to navigate the complexities of the software supply chain. The platform enables secure SBOM sharing, fostering transparency and trust with customers, and helping organizations meet regulatory requirements while accelerating the sale of their products in highly regulated markets.
As regulatory frameworks in the European Union and North America increasingly mandate the use of Software Bills of Materials (SBOMs) to enhance software supply chain security, Cybeats anticipates a significant rise in demand for SBOM management solutions among large enterprises. In the EU, the Cyber Resilience Act requires manufacturers to compile comprehensive SBOMs for digital products, aiming to bolster cybersecurity across member states. Similarly, in the United States, Executive Order 14028 mandates that software vendors provide SBOMs to federal agencies, underscoring the importance of transparency in software components. These regulatory developments are expected to drive widespread adoption of SBOM practices, positioning Cybeats to meet the evolving compliance and security needs of organizations globally.
The National Security Agency and the U.S. Department of Defense released its 2023 recommended best cyber practices report, where Cybeats' SBOM Studio product is the only commercial service featured for managing SBOMs. Learn more here about how Cybeats can help you to manage risk and meet evolving cyber regulatory requirements.
About Cybeats Technologies Corp.
Cybeats Technologies Corp. (CSE: CYBT) (OTCQB: CYBCF) is a cybersecurity company providing Software Bill of Material (SBOM) management and software supply chain intelligence technology, helping organizations to manage risk, meet compliance requirements, and secure their software from procurement to development and operation. Our platform gives customers comprehensive visibility and transparency into their software supply chain, enabling them to improve operational efficiency, increase revenue, and align organizations with current and future regulations. Cybeats. Software Made Certain. Website: https://cybeats.com
Forward-looking Information Cautionary Statement
Except for statements of historic fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. In particular, this news release contains forward-looking information relating to, among other things, the Company's expectations with respect to the use of proceeds and the use of the available funds following completion of the Offering, and the completion of the Offering. Forward-looking statements are based on the opinions and estimates at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements including, but not limited to delays or uncertainties with regulatory approvals, including that of the CSE. There are uncertainties inherent in forward-looking information, including factors beyond the Company's control. There are no assurances that the commercialization plans for the products described in this news release will come into effect on the terms or time frame described herein. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. Company filings are available under the Company's SEDAR+ profile at www.sedarplus.ca.
1 Source: 'Securing The Software Supply Chain', Blackberry's 2024 Survey Results, Online sources.
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