For almost $450 million, Akamai Technologies (NASDAQ: AKAM), a cloud computing business located in Cambridge, Massachusetts that protects and enhances life online, purchased Noname Security, an API security startup based in San Jose, California.
It is anticipated that the deal would close in the second quarter of 2024, subject to usual closing conditions. With this purchase, Akamai will be able to provide protection for all API traffic destinations, regardless of the needs related to deployment, business, or integration.
As the use of APIs grows, Noname will improve Akamai’s current API Security solution and speed up its capacity to satisfy client demand and market needs.
Together with its current channel and partnership ties, Noname’s extra sales and marketing resources are expected to help Akamai achieve even larger growth.
It is anticipated that more than 200 workers from Noname, including CEO and co-founder Oz Golan, would join Akamai’s Security Technology Group.
The transaction is expected to generate around $20 million in revenue for the fiscal year 2024, decrease non-GAAP operating margin by about 0.50%, and dilute non-GAAP net income per diluted share by about $0.10.
About Akamai
Akamai Technologies Inc is a provider of cloud services for delivering, optimizing, and securing online content and business applications over the internet. The company offers cloud security, mobile and web performance, carrier, and media delivery solutions. Akamai serves diverse industries, including e-commerce, media, public sector, network operator. It has business presence across the Americas, Europe, the Middle East, Africa, and Asia-Pacific. Akamai is headquartered in Cambridge, Massachusetts, the US.
