Akamai Technologies Inc Stock Price, News & Analysis

Akamai (NASDAQ: AKAM) has launched Cloud Accelerated Compute Instances, becoming the first cloud provider to offer NETINT video processing units (VPUs) in the cloud. The new compute category features Quadra T1U VPUs, capable of encoding 32 live streams at 1080p30 broadcast quality and supporting up to 8Kp60 resolution.

The VPU architecture delivers up to 20 times greater throughput than CPU-only solutions at one-tenth of the cost. This technology enables companies to offload compute-intensive video processing tasks while freeing CPU resources for other functions like dynamic packaging and real-time speech-to-text captioning.

This initiative strengthens Akamai's position in media services, complementing its existing solutions trusted by the top 10 video streaming services. The company will showcase its cloud-based capabilities at the 2025 NAB Show in Las Vegas, April 6-9.

Akamai (NASDAQ: AKAM) has launched Akamai Cloud Inference, a new service that delivers significant improvements in AI inference performance. The solution offers 3x better throughput, up to 60% less latency, and 86% cost savings compared to traditional hyperscale infrastructure.

Running on Akamai Cloud's distributed platform with over 4,200 points of presence across 1,200+ networks in 130+ countries, the service includes advanced compute capabilities, data management through partnerships with VAST Data, containerization via Linode Kubernetes Engine-Enterprise, and edge compute features with WebAssembly capabilities.

The platform specifically targets the growing need for efficient AI inference processing at the edge, where real-time decision-making is crucial. Early implementations include in-car voice assistance, AI-powered crop management, image optimization, virtual shopping experiences, and customer feedback analysis.

Akamai Technologies (NASDAQ: AKAM) has been named a Leader in The Forrester Wave™: Web Application Firewall Solutions, Q1 2025 report. The company received the highest possible scores in 11 criteria, including vision, roadmap, detection models, and pricing flexibility.

The evaluation assessed 10 vendors based on 22 criteria grouped by current offering and strategy. Akamai's App & API Protector, a comprehensive solution combining web application firewall, bot mitigation, API security, and DDoS protection, was particularly praised for its detection capabilities and automation features.

According to Forrester's report, Akamai's product vision emphasizes protecting applications without compromising performance or customer experience. The company's robust product roadmap includes new protections, streamlined operations capabilities, and regulatory compliance features to expand its customer base.

Akamai Technologies (NASDAQ: AKAM) has announced a strategic partnership with VAST Data to enhance AI inference capabilities at the edge. The collaboration aims to combine Akamai's distributed cloud platform with VAST Data Platform's computing approach to address key challenges in AI deployment including latency, cost, and scalability.

The partnership focuses on making data-intensive AI inferencing more efficient, particularly for large, distributed customers requiring improved local response time and localization. While many cloud providers support centralized AI training, Akamai's position as the world's most distributed cloud enables AI inference delivery at the edge, offering customers consistency and fast, secure access to organizational data through a single global namespace.

Akamai Technologies (NASDAQ: AKAM) has announced a new Managed Container Service designed to help companies deliver better user experiences by running workloads closer to users, devices, and data sources. This service significantly advances Akamai's cloud computing strategy, operating across more than 700 cities and 4,300 points of presence on what Akamai describes as the world's most distributed cloud platform.

The service is currently being tested with customer applications in over 100 cities. According to Adam Karon, Akamai COO and GM of Cloud Technology Group, the service allows businesses to maintain predictable costs as applications scale, positioning Akamai as a key platform in enterprise multicloud environments.

Akamai's Managed Container Service enables businesses to run data-intensive workloads with low latency, leveraging Akamai's full-stack cloud computing infrastructure including GPUs, VPUs, object storage, managed database service, and network services.

Akamai Technologies (NASDAQ: AKAM) has secured a significant multi-year strategic agreement with one of the world's largest technology companies, involving a commitment to spend over $100 million on Akamai's cloud computing services. The deal encompasses Akamai's full-stack cloud computing capabilities, allowing the customer to utilize Akamai's complete portfolio for managing, delivering, and securing data to enhance their infrastructure services.

As part of the implementation, Akamai will deploy managed Kubernetes clusters in secured virtual private cloud environments, handle load-balancing of user traffic, and implement integrated application and network security on Akamai Cloud. These services aim to optimize performance while offering more competitive cloud economics and enabling local traffic and data management.

Akamai Technologies (NASDAQ: AKAM) reported its Q4 and full-year 2024 financial results. Q4 revenue reached $1.020 billion, up 3% year-over-year, with security and compute revenue representing 69% of total revenue, growing 16% YoY. Q4 GAAP EPS was $0.91, down 12% YoY.

For full-year 2024, revenue totaled $3.991 billion, up 5% YoY. Security revenue grew to $2.043 billion (+16% YoY), while delivery revenue declined to $1.318 billion (-15% YoY). Compute revenue increased to $630 million (+25% YoY). The company maintained strong cash flow, generating $1.519 billion from operations, representing 38% of revenue.

During Q4, Akamai repurchased 1.4 million shares for $138 million at an average price of $97.43. For the full year, the company bought back 5.6 million shares for $557 million at an average price of $99.14 per share.

Akamai Technologies (NASDAQ: AKAM) has released the 'Defenders' Guide 2025: Fortify the Future of Your Defense', a comprehensive cybersecurity report designed to help security professionals combat emerging threats. The report introduces new findings on risk scoring, VPN abuse, and advanced malware techniques.

Key highlights include a novel risk scoring model for quantifying organizational vulnerabilities, insights into botnet families like NoaBot and RedTail, and research on VPN vulnerabilities exploited by threat actors. The guide also covers Kubernetes vulnerabilities and cross-site scripting defense strategies.

According to Boaz Gelbord, SVP and Chief Security Officer at Akamai, this research-driven approach helps organizations optimize security investments and reduce costly incident risks. The report differs from conventional threat reports by providing actionable intelligence rather than abstract trends, specifically targeting first-line defenders.

Akamai Technologies (NASDAQ: AKAM) has achieved three significant recognitions for its commitment to ethical business practices and sustainability. The company has been named to the 2025 JUST 100 Rankings, where it ranked #1 among internet companies in the categories of 'Workers,' 'Customers,' and 'Communities'.

Additionally, Akamai has maintained its position in the Dow Jones Sustainability Indices (DJSI) for the 11th consecutive year and the FTSE4Good Index Series for the 10th consecutive year. These achievements highlight the company's dedication to corporate responsibility, environmental stewardship, and stakeholder value creation.

Mike Mattera, Director of Corporate Sustainability at Akamai, emphasized that these recognitions reflect the company's commitment to ethical business practices and environmental stewardship, crediting the collective efforts of employees, customers, and partners in making a meaningful difference globally.