Exclusive: HEAL Security gets $4.6M for health care cybersecurity
HEAL Security, a health care cybersecurity intelligence platform, emerged from stealth and raised $4.6 million in pre-seed funding, CEO Charles Aunger tells Axios exclusively.
Why it matters: Health systems are a main target of cybersecurity threats given the valuable patient information stored in electronic health records (EHRs).
Details: HEAL is a portfolio company of Health2047, a Silicon Valley-based venture studio founded by the American Medical Association.
- To date, Health2047 has invested $2.3 million in HEAL Security, with additional co-investor funding bringing its total pre-seed investment to $4.6 million.
How it works: HEAL Security offers real-time, tailored cyber threat intelligence to help health systems protect data.
- Its first prodect, HEAL Security Desktop, is a dashboard that consolidates recent data, insights, and assessments of the global health care cybersecurity landscape to help clients evaluate risks.
What's next: "We'll be looking to fundraise again this year to support the launch of additional solutions and services for the health care industry," Aunger says.
Of note: The company is not yet generating revenue or is profitable.
Flashback: Aunger's career spans positions at Microsoft, Citrix, Cleveland Clinic and Stanford Healthcare.
- He says while he noticed a flood of cybersecurity startups, there weren't sufficient solutions "situationally aware of the complexities of the health care industry."
Plus, Aunger himself experienced having his identity stolen.
- "It was an absolute nightmare," he says. "The loss of data and security inherently affects people."
- "Personal health care data is just that — personal," says Aunger.
Be smart: "The economic toll of data breaches on health care in recent years is nothing short of astronomical," says Lawrence Cohen, CEO of Health2047.
- "The sector has experienced nearly $7.8 billion in losses due to breaches since 2016 and the threat is so pervasive that some institutions are having to revert to paper records, setting back health care's digital evolution and making it harder for physicians to perform their duties," he says.