CyberMDX, a connected medical device and clinical network security firm, announced this morning that it has collected $20 million in new funding. The latest investment brings the startup's total raise to $30 million in total funds. It was headed by Sham (Relyens Group) with participation from prior backers Pitango Venture Capital and Qure Ventures.
WHAT THEY DO
The company's healthcare cybersecurity software is deployed to a provider's network, where it proactively identifies and protects the organization's connected medical devices, IT systems and other internet of things devices. In addition to tracking for device recalls, the platform reports threats or malicious activity in real time and provides the hospital's security team with operational analytics and insights to help understand risk and plan for future incidents.
WHAT IT'S FOR
In addition to tech platform and research investments, the company said that it will be pushing its geographic expansion and go-to-market efforts with these new funds.
"CyberMDX has been leading the market, helping healthcare organizations identify, optimize and secure their critical assets,” Amir Magner, CEO and cofounder at CyberMDX, said in a statement. “Nowadays, in light of COVID-19 and unprecedented events, we see it as part of our mission to support the healthcare community in its challenging time. We are incredibly excited to be backed by strong investors with a healthy mixture of VC and strategic commercial syndicate that will enable faster execution and growth of our company's mission.”
As hospitals continue to embrace the internet of things, experts have advocated for greater cybersecurity efforts and a decentralized network to limit the risks posed by connected medical devices. In some respects, this has provided an opportunity for startups seeking to protect healthcare organizations. Alongside CyberMDX's prior $10 million raise in 2018, Medigate and MedCrypt both closed rounds in 2019 for $15 million and $5.3 million, respectively.
ON THE RECORD
“We are very excited to be leading this funding round,” Relyens group CEO Dominique Godet said in a statement. “CyberMDX is a leader in the healthcare cybersecurity arena and their offering is well timed with the rapidly increasing demand for solutions that help ensure hospitals continue running smoothly. We look forward to collaborating with and supporting them as they accelerate into their next wave of expansion.”