IQSTEL (NASDAQ:IQST) announced on Wednesday its entry into the cybersecurity arena and the introduction of new-generation artificial intelligence-enhanced cybersecurity services through a strategic stock swap partnership with Cycurion (NASDAQ:CYCU).
IQSTEL will issue 0.15 million shares of its common stock to Cycurion. In comparison, Cycurion will issue 3.87 million shares of its common stock to IQSTEL, with each share representing an equal value of $1 million at the time of the agreement’s execution.
IQSTEL said the partnership strengthens its diversified portfolio by officially adding cybersecurity services to its suite of telecommunications, fintech, and AI digital offerings.
Also Read: IQSTEL Targets $15 Million Profit In 2026
Both parties have committed to deliver a $0.5 million dividend in shares to their shareholders by December 31, 2025. Each company may satisfy this dividend obligation either in its own stock or in shares received from the stock exchange.
Leandro Iglesias, CEO of IQSTEL, stated that the company plans to officially launch these new cybersecurity solutions at the most significant global telecom event in 2026.
Together, the companies will develop and launch a state-of-the-art AI-driven cybersecurity solution, combining IQSTEL’s proprietary AI technologies with Cycurion’s cybersecurity expertise.
The companies will cross-sell services, enabling IQSTEL to introduce Cycurion’s cybersecurity products to its telecom clients worldwide, while Cycurion gains access to IQSTEL’s fintech and AI-driven offerings.
They will accelerate product innovation through integrated R&D efforts, bringing next-gen cybersecurity and AI solutions to market faster.
In July 2025, IQSTEL reported $35 million in revenue, surpassing a $400 million annual run rate five months ahead of schedule.
IQSTEL’s growth strategy remains on track with its $15 million EBITDA run rate goal by 2026 and a $1 billion revenue run rate target by 2027.
This partnership establishes Cycurion as a “sibling company” to IQSTEL.
On August 7, iQSTEL and Cycurion signed a Memorandum of Understanding (MOU) to exchange $1 million worth of stock each and become mutual equity partners.
As part of the agreement, both companies will distribute half of the exchanged shares as dividends, aiming to boost shareholder value.
Price Action: IQST stock closed higher by 2.93% at $6.50 on Monday.
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