CyberNB is a loss, but the industry in New Brunswick is still thriving, say experts

N.B. cybersecurity company collapses Cyber N.B., a company that was once touted as the future of the province, has closed its doors.

Launched by former New Brunswick Premier Brian Gallant on May 10, 2016 – “CyberNB” promised to be the epicentre for experts to fight cyberattacks.

Almost six years later, the organization is ceasing operations. Opportunities New Brunswick says it couldn’t send more funding “based on ONB’s review of the provided financials and projections.”

“ONB was unable to advance further funds due to the organization not meeting key milestones on their path to self-sufficiency,” said a spokesperson in a statement.

The province had provided $1.3 million over two years to CyberNB, “with the goal of helping CyberNB become self-sufficient within that timeframe.”

Those who remain in the cybersecurity industry in New Brunswick say they feel for the employees – but they’re not worried about the industry’s future.

“CyberNB had an important role to help get this spark started but we now have a very successful growing and budding industry,” said David Shipley, CEO and co-founder of Beauceron Security, which focuses on helping clients become more cyber secure.

He says, with what’s happening abroad, the prevalence of misinformation and cyberattacks at home – including Saint John – the industry is growing.

Including Beauceron, which started with $1,500 and has grown to millions of dollars in revenue and 40 employees.

“Cybersecurity is going to become an integral part of our national defense, and our planning and protection from everything from nation states to criminals. It's not going away,” he said. “I'd love for the day that cybersecurity wasn't a threat but I’ll be well into my 60s before we have a handle on this issue.”

Ignite Fredericton CEO Larry Shaw says the footprint is now much larger than any one organization. It now employs over 700 people in Fredericton, with $55 million in direct payroll.

“It’s unfortunate for Cyber NB that has had to cease operation, it was doing great work – but it’s much deeper than that,” he said. “There is significant opportunity for Fredericton and New Brunswick, and cybersecurity should still remain as one of the top priorities for the province of New Brunswick.”

CyberNB were recent tenants of the two-year-old Cyber Centre. Shaw says there is empty space there now, but he expected it would take time to fill the building.

“Cyber Centre is a large complex, it’s going to take a number of months, if not a couple of years, for it to be fully leased out," he said. "But again, with the strength that’s in the industry and the position that New Brunswick and Fredericton has, Cyber Centre is a significant asset to that infrastructure and to that ecosystem.”

Fredericton Chamber of Commerce CEO Krista Ross says the pandemic may have hurt efforts to attract new business to the space, but she’s hopeful that’s now changing.

“The industry is poised for, I would say, dramatic growth,” she said. “Now CyberNB, it’s very unfortunate that the organization has not been able to continue but that does not mean the end of the industry.”