Can Akamai’s (AKAM) AI Security Push with Aqua Reveal Its Vision for Cloud Leadership?

• In late July 2025, Akamai Technologies partnered with Aqua Security to create an integrated solution that protects enterprise AI applications from development to deployment, addressing threats such as prompt injection and model manipulation across cloud, hybrid, and edge environments without requiring code changes.
• This collaboration combines Akamai’s Firewall for AI with Aqua’s runtime defense, offering organizations comprehensive visibility, control, and real-time threat mitigation as AI adoption grows and security concerns escalate.
• We'll now examine how this move into full-spectrum AI security could influence Akamai’s evolving cloud and cybersecurity-focused investment narrative.

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Akamai Technologies Investment Narrative Recap

Akamai Technologies attracts shareholders who are focused on the transformation from legacy content delivery to cloud and cybersecurity, betting on security and compute segments to outpace declining delivery revenue. The new partnership with Aqua Security deepens Akamai's AI security capabilities but does not meaningfully change the immediate risk: whether rising security and compute revenue can offset persistent declines in content delivery, especially as AI-driven products scale up over time.

Among Akamai’s recent moves, the launch of Firewall for AI earlier this year closely aligns with the Aqua Security partnership, reinforcing the company’s focus on next-generation AI security and supporting the ongoing catalyst of expanding enterprise cloud services.

However, investors should also be aware that while security revenue is growing, the ongoing decline in content delivery revenue remains a key risk if new offerings do not ramp up quickly enough...

Read the full narrative on Akamai Technologies (it's free!)

Akamai Technologies' outlook anticipates $4.8 billion in revenue and $643.1 million in earnings by 2028. This scenario is based on a projected 5.8% annual revenue growth and a $190.4 million increase in earnings from the current $452.7 million.

Uncover how Akamai Technologies' forecasts yield a $98.75 fair value, a 31% upside to its current price.

Exploring Other Perspectives

Four Simply Wall St Community members valued Akamai’s shares between US$50.32 and US$119.21, highlighting a wide spectrum of outlooks. As AI security partnerships expand, whether newer segments can deliver enough growth remains a central question with broader performance implications.

Explore 4 other fair value estimates on Akamai Technologies - why the stock might be worth 33% less than the current price!

Build Your Own Akamai Technologies Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Akamai Technologies research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Akamai Technologies research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Akamai Technologies' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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