Akamai Technologies Inc Stock Price, News & Analysis

Akamai Technologies (NASDAQ: AKAM) announced the extension of its Guardicore Segmentation solution to support agentless enforcement for cloud native resources in AWS, along with new features for its Zero Trust Network Access product. The company highlighted that 32% of cybersecurity breaches involved ransomware or extortion, emphasizing the need for comprehensive Zero Trust frameworks.

The enhanced Guardicore Segmentation offers cloud native visibility, hybrid enforcement, and integrated reputation analysis. The Enterprise Application Access updates include edge transport capabilities and local point of presence (PoP), promising two to three times faster file downloads and improved application performance for in-office users.

Akamai (NASDAQ: AKAM) has emerged as the winning bidder to acquire select assets from Edgio, following Edgio's Chapter 11 bankruptcy filing on September 9, 2024. The acquisition includes customer contracts from Edgio's security and content delivery businesses, along with non-exclusive license rights to Edgio's patent portfolio, but excludes Edgio's network assets. The 363 sale auction concluded on November 13, 2024, with court approval hearing scheduled for November 25, 2024. If approved, the transaction is expected to close in Q4 2024, subject to customary conditions. Financial impact details will be provided post-court approval.

Akamai Technologies (NASDAQ: AKAM) announced that Avesha Technologies has joined the Akamai Qualified Compute Partner Program as an Independent Software Vendor. Avesha is providing two Kubernetes solutions: KubeSlice for multi-cloud connectivity and Smart Scaler for autoscaling. The solutions enable seamless cloud migration, optimize resource allocation, and provide cost management through KubeTally. G&L Systemhaus, a German systems integrator, highlighted the benefits of using KubeSlice for connecting microservices across different environments. The partnership aims to provide secure and high-performance Kubernetes solutions scalable across Akamai Connected Cloud.

Akamai Technologies released its third annual API Security Impact Study, revealing concerning trends in API security. 84% of respondents experienced API security incidents in the past year, up from 78% in 2023. The study, surveying 1,207 security leaders across the US, UK, and Germany, found that only 27% of participants have a full API inventory and know which APIs exchange sensitive data, down from 40% in 2023.

The average cost to remediate API incidents was $591,404 in the US, rising to $832,801 in financial services. Energy/utilities reported the highest incident rate (91%), while retail/ecommerce had the lowest (68%). CISOs ranked addressing generative AI threats (25.5%) and securing APIs (24.8%) as top priorities.

Akamai Technologies (NASDAQ: AKAM) has launched the Akamai App Platform, a cloud-agnostic solution built on Kubernetes technology from their recently acquired Otomi. The platform offers ready-to-run templates that simplify deployment, management, and scaling of Kubernetes clusters, reducing deployment time from months to under an hour. The solution provides essential capabilities including customizable templates, a self-service environment, and a framework integrating preconfigured open source projects. Key features include simplified operational complexity, standardized deployments, true workload portability, and integrated security and observability features.

Akamai Technologies (NASDAQ: AKAM) reported Q3 2024 revenue of $1.005 billion, up 4% year-over-year, marking its first billion-dollar quarter. Security revenue grew 14% to $519 million, while Compute revenue increased 28% to $167 million. However, Delivery revenue declined 16% to $319 million. The company recorded a $82 million restructuring charge related to workforce reduction, resulting in GAAP net income of $58 million (down 64%) and EPS of $0.38 (down 63%). Security and compute solutions now represent 68% of total revenue, growing 17% year-over-year. The company maintains strong cash position with $1.979 billion in cash and equivalents.

Akamai Technologies (NASDAQ: AKAM) has enhanced its Account Protector security solution with new real-time capabilities designed to protect user accounts throughout their entire lifecycle. The upgraded solution now offers comprehensive protection against account opening abuse, takeover attacks, and fraudulent activities from account creation through post-login activities.

The enhanced features include lifecycle protection, flexible risk management, and advanced API operations for critical activities such as account updates, password changes, and payments. The system continuously monitors user behavior, analyzes risk signals, and initiates automated responses to balance security with user experience.

Akamai Technologies Inc. (NASDAQ: AKAM) announced that APIContext has joined the Akamai Qualified Compute Partner Program as an Independent Software Vendor (ISV). APIContext offers advanced API performance monitoring and compliance testing solutions, leveraging Akamai's global cloud platform to provide real-world, end-to-end monitoring.

APIContext has launched synthetic tests from 24 Akamai availability zones and utilizes various Akamai Linode services. This integration enables businesses to identify and address potential performance issues proactively. The partnership aims to bring proactive API performance monitoring to Akamai's customer base, ensuring high-performance, mission-critical APIs remain compliant, governable, and resilient across multiple regions.

The Akamai Qualified Compute Partner Program facilitates easy access to solution-based services interoperable with Akamai's cloud computing services for its customers.

Akamai Technologies (NASDAQ: AKAM) has announced the Behavioral DDoS Engine for its App & API Protector solution. This new capability uses machine learning for automatic, proactive protection against application-layer DDoS attacks. It offers advanced detection and mitigation by analyzing anomalies and correlating multidimensional traffic data.

The engine provides customized, hands-off protection tailored to specific traffic baselines and risk sensitivities, minimizing manual intervention. It leverages global DDoS intelligence from the Akamai platform for automatic updates and modernized defense.

Akamai is also introducing an AI Assistant embedded in its web security analytics, allowing users to quickly filter and query security insights via a chat-based interface. The release includes additional capabilities such as Rapid Rules for fast CVE and zero-day protection, and improvements to the Adaptive Security Engine.