Cycurion Expands Public Safety Tech Platform with $5.1M Video Solutions Acquisition — Cycurion, Inc.

Event summary

Cycurion to acquire Kustom Entertainment’s video solutions segment for $5.1M in annual revenue and $8.0M backlog.
Deal includes $1.25M cash, $4.25M secured promissory note, up to $1.0M earnout, and warrants for 2M shares.
Acquisition adds ~1,000 new clients, including police departments with existing Cycurion relationships.
Portfolio includes 58 patents covering video surveillance and evidence management technologies.
Expected closing in early July 2026, subject to due diligence and regulatory approvals.

The big picture

Cycurion’s acquisition of Kustom Entertainment’s video solutions segment aligns with its strategy to build a comprehensive public safety technology platform. The deal expands its AI-driven cybersecurity offerings into evidence management and video surveillance, areas increasingly critical for law enforcement agencies. With $5.1M in annual revenue and 58 patents, the acquisition positions Cycurion to compete more effectively in the growing market for integrated security solutions.

What we're watching

Integration Challenges: How Cycurion will merge Kustom’s video solutions with its existing ARx AI and Panoptic platforms.
Cross-Selling Potential: Whether the acquisition can drive higher-margin recurring revenue through integrated offerings.
Execution Risk: The pace at which Cycurion realizes operational synergies and margin expansion from the deal.