MSPs Face Rising Pressure from Compliance and Cyber Insurance
Cytracom has acquired Tentacle, a cybersecurity and compliance management platform, to expand its Security Risk Management capabilities. The move targets the growing need among Managed Service Providers (MSPs) to support client compliance amid increased regulatory and insurer demands.
Regulators and cyber insurers are intensifying scrutiny. MSPs must now operate as Risk Advisors, not just IT support vendors. As Zane Conkle, Cytracom’s CEO, stated, “MSPs are increasingly being asked to manage risk as much as they manage technology.”
Tentacle to Support MSPs’ Evolving Role
Tentacle provides tools to centralize risk data, map it to industry standards like HIPAA and PCI, and manage third-party risks. Its integration allows MSPs to shift from periodic reviews to continuous risk program oversight. “We’re giving our partners the platform they need to step into this evolving role with confidence,” Conkle added.
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This acquisition builds on Cytracom’s prior acquisition of Telivy, which enabled automated risk assessments and recurring compliance documentation. Tentacle adds real-time collaboration features and helps efficiently organize security program data.
Market Forces Demand New MSP Capabilities
John Tippett, Cytracom’s Chief Commercial Officer, said, “This is another step forward in building a complete platform that empowers MSPs to connect the modern workforce—securely, reliably, and within the evolving frameworks of GRC.”
Mandates from the FTC and cyber insurers increasingly impact small and mid-sized businesses. MSPs now face the challenge of delivering both IT services and security consulting.
Strategic Growth in Cybersecurity for MSPs
By acquiring Tentacle, Cytracom positions itself as a one-stop infrastructure provider for managed service providers (MSPs). Its platform now covers VoIP, SASE, and SRM from a single control point. Rob McDonald, Chief Product Officer, emphasized, “This dramatically accelerates what we can bring to market.”
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