Akamai Technologies To Acquire Cloud Storage Technology Company Ondat

Rhea-AI Summary

Akamai Technologies (NASDAQ: AKAM) announced on March 2, 2023, a definitive agreement to acquire Ondat, a leading cloud-based storage technology provider. Ondat specializes in Kubernetes-native platforms, enhancing Akamai's ability to run stateful applications seamlessly across diverse cloud environments. This acquisition aims to strengthen Akamai's cloud computing offerings and integrate advanced storage capabilities into its Akamai Connected Cloud platform, which serves over 4,100 locations globally. The transaction is expected to close in Q1 2023 with no significant impact on Akamai's financial guidance for the year.

Positive

• Acquisition of Ondat enhances Akamai's cloud storage capabilities.
• Strengthens Akamai's competitive position in cloud computing.
• Integration of Ondat's technology into Akamai Connected Cloud could improve service offerings.

Negative

• None.

CAMBRIDGE, Mass., March 2, 2023 /PRNewswire/ -- Akamai Technologies, Inc. (NASDAQ: AKAM), the cloud company that powers and protects life online, today announces that it has entered into a definitive agreement to acquire Ondat, a cloud-based storage technology provider with a Kubernetes-native platform for running stateful applications anywhere at scale. Ondat's technology delivers persistent storage directly onto any Kubernetes cluster for running business-critical, stateful applications safely across any public, private and hybrid clouds. The acquisition of Ondat's cloud storage technology and its industry-recognized talent is intended to strengthen Akamai's cloud computing offerings.

"Last month we shared details of Akamai Connected Cloud, the world's most distributed platform for cloud computing, security, and content delivery," said Adam Karon, chief operating officer and general manager, Cloud Technology Group, Akamai Technologies. "Storage is a key component of cloud computing and Ondat's technology will enhance Akamai's storage capabilities, allowing us to offer a fundamentally different approach to cloud that integrates core and distributed computing sites with a massively scaled edge network."

Ondat's employees, including founder and chief technology officer Alex Chircop, will join Akamai's cloud computing business.

Akamai Connected Cloud is a massively distributed edge and cloud platform for cloud computing, security, and content delivery that keeps applications and experiences closer and threats farther away. Akamai's cloud computing services enable developers to build, run and secure highly performant workloads closer to wherever businesses and users connect online. In building out Akamai Connected Cloud, Akamai is adding core and distributed sites on top of the same underlying backbone that powers its edge network today — spanning more than 4,100 locations across 134 countries. More specifically, Akamai is placing compute, storage, database and other services closer to large population, industry and IT centers.

Ondat, headquartered in London, U.K., is a privately funded company. The acquisition is expected to close in the first quarter of 2023. Akamai anticipates no material impact to the company's financial guidance for 2023 as a result of the transaction.

For more information, visit the Akamai cloud computing solutions page.

About Akamai

Akamai powers and protects life online. Leading companies worldwide choose Akamai to build, deliver, and secure their digital experiences — helping billions of people live, work, and play every day. With the world's most distributed compute platform — from cloud to edge — we make it easy for customers to develop and run applications, while we keep experiences closer to users and threats farther away. Learn more about Akamai's security, compute, and delivery solutions at akamai.com and akamai.com/blog, or follow Akamai Technologies on Twitter and LinkedIn.

Akamai Statement Under the Private Securities Litigation Reform Act

This release contains statements that are not statements of historical fact and constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995, including, but not limited to, statements about expectations, plans and prospects of Akamai. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors including, but not limited to, the failure of our investments in innovation to generate solutions that are accepted in the market; effects of competition, including pricing pressure and changing business models; impact of macroeconomic trends, including economic uncertainty; conditions and uncertainties in the geopolitical environment; continuing supply chain and logistics costs, constraints, changes or disruptions; defects or disruptions in our products or IT systems, including cyberattacks, data breaches or malware; failure to realize the expected benefits of any of our acquisitions or reorganizations; changes to economic, political and regulatory conditions in the United States and internationally; delay in developing or failure to develop new service offerings or functionalities, and if developed, lack of market acceptance of such service offerings and functionalities or failure of such solutions to operate as expected, and other factors that are discussed in our Annual Report on Form 10-K, quarterly reports on Form 10-Q, and other documents periodically filed with the SEC. In addition, the statements in this press release and on our quarterly earnings conference call represent Akamai's expectations and beliefs as of the date of this press release. Akamai anticipates that subsequent events and developments may cause these expectations and beliefs to change. However, while Akamai may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Akamai's expectations or beliefs as of any date subsequent to the date of this press release.

Media Contact
Gina Sorice
(646) 320-4107
gsorice@akamai.com

Investor Contact
Tom Barth
(617) 274-7130
tbarth@akamai.com 

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SOURCE Akamai Technologies, Inc.

FAQ

What is Akamai Technologies' recent acquisition about?

Akamai Technologies is acquiring Ondat, a cloud storage technology provider specializing in Kubernetes-native platforms.

When is the acquisition of Ondat expected to close?

The acquisition is anticipated to close in the first quarter of 2023.

How will the Ondat acquisition impact Akamai's financial guidance?

Akamai expects no material impact on its financial guidance for 2023 from the acquisition of Ondat.

What benefits does Ondat bring to Akamai Technologies?

Ondat will enhance Akamai's cloud storage capabilities and strengthen its position in offering cloud computing services.

What is Akamai Connected Cloud?

Akamai Connected Cloud is a massively distributed platform for cloud computing, security, and content delivery.