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Artificial Intelligence Akamai has used Artificial Intelligence (AI) for many years, and we believe we are well positioned to continue benefiting from it 20© Akamai | Published on February 20, 2025
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We may not be successful in our artificial intelligence initiatives, which could adversely affect our business, reputation, or financial results.
Read in the filing ↗ Also in 10-Q of Aug 8, 2025, 10-Q of Nov 7, 2025, 10-K of Feb 20, 2026, 10-Q of May 8, 2026, 10-Q of Aug 7, 2026, 10-Q of Nov 6, 2026
In July 2026, the Company acquired all the outstanding equity interests of LayerX Security Ltd. ("LayerX") for $ 192.9 million in cash. The acquisition is intended to enhance the Company's security portfolio with the addition of LayerX's browser-based artificial intelligence usage control and secure enterprise browser technology. As of September 30, 2026, the purchase price allocation is preliminary, pending finalization of net working capital and certain income tax matters.
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In July 2026, the Company acquired all the outstanding equity interests of LayerX Security Ltd. ("LayerX") for approximately $ 205.0 million in cash, subject to post-closing adjustments. The allocation of the purchase price has not been finalized as of the date of the filing of these financial statements. The acquisition is intended to enhance the Company's security portfolio with the addition of LayerX's browser-based artificial intelligence usage control and secure enterprise browser technology.
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Innovation is important to our future success. In particular, as security and cloud computing solutions have become, and are expected to continue to be, an important part of our business, we must be particularly adept at developing new security solutions that meet the constantly-changing threat landscape and cloud computing, compute-to-edge and artificial intelligence ("AI") inference solutions that meet the needs of professional users and enterprises looking to increase the utility of the internet for their business.
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Artificial intelligence ("AI"), presents new risks and challenges that may affect our business. We have made, and expect to continue to make investments to integrate AI and machine learning technology into our products and solutions, as well as to use AI to enhance our own business operations. Given the nature of AI technology, we face significant competition from other companies and an evolving regulatory landscape. Our AI efforts may not be successful and our competitors may incorporate AI into their products more successfully than us, which could impair our ability to compete effectively and adversely affect our
Read in the filing ↗ Also in 10-K of Feb 24, 2025
In addition, enactment and expansion of laws related to the use of artificial intelligence and machine learning in our operations and increased regulation of cloud service providers also could increase the costs of doing business, subject us to potential liability or regulatory risk and introduce other disadvantages to our business, including brand or reputational harm. Interpretations of laws or regulations that would subject us to regulatory enforcement actions, supervision or, in the alternative, require us to exit a line of business or a country, could lead to the loss of significant revenues and have a negative impact on the
Read in the filing ↗ Also in 10-Q of Aug 8, 2025, 10-Q of Nov 7, 2025
We provide solutions in three core offerings: security, delivery and compute. We also provide services and support for our customers as they utilize our solutions. As part of our mission to make life better for millions of businesses, trillions of times per day, Akamai is committed to enabling our customers to benefit from the latest technology developments. In recent years, artificial intelligence ("AI") has been a major focus of corporate initiatives for enterprises in multiple verticals and across the globe. To help our customers seize on the power and potential of AI, we provide cloud computing infrastructure that they can use to build AI-powered applications; cybersecurity solutions, powered by AI and automation, designed to defend against prompt injections, data exfiltration and toxic outputs; generative AI to improve the speed and efficiency of identifying and investigating malicious or suspect activity; and throughput on our global intelligent network to enable the large volumes of data required to power AI-powered applications and facilitate effective real-time protections.
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The process of developing new solutions and product enhancements is complex, lengthy and uncertain and has become increasingly complex due to the sophistication of our customers’ needs. The development timetable is uncertain and we may commit significant resources to developing solutions for which a viable market may not ultimately develop. For example, we are investing significant resources in our compute solutions and platform, working on expanding the capacity of these facilities, adding additional sites and developing increased compute features and functionality. Success in these efforts is not guaranteed and will largely depend on our ability to create products that are competitive in the enterprise market, source additional co-location facilities, manage an uncertain supply chain for server related hardware and adapt our offerings to new or emerging technologies and changes in customer requirements, including those related to artificial intelligence workloads. In addition, we have experienced, and may in the future experience, delays in developing and releasing new products and product enhancements. This could cause our expenses to grow more rapidly than our revenue.
Read in the filing ↗ Also in 10-Q of Aug 8, 2025, 10-Q of Nov 7, 2025
… In Europe, the EU began implementing the Artificial Intelligence Act (the "AI Act") on August 1, 2024. The AI Act, which may be amended as part of the EU's Digital Omnibus, imposes significant obligations on providers and deployers of high-risk AI systems, and non-compliance can lead to substantial fines. If we develop or use AI systems governed …
Read in the filing ↗ Also in 10-K of Feb 20, 2026, 10-Q of May 8, 2026, 10-Q of Aug 7, 2026
Artificial intelligence presents new risks, opportunities and challenges that may affect our business. In addition to ongoing investments to integrate AI and machine learning technology into our existing products and solutions and to use AI to enhance our business operations, we recently launched Akamai Inference Cloud ("AIC"), a platform enabling AI inferencing at the edge of the internet, as a …
Read in the filing ↗ Also in 10-K of Feb 20, 2026, 10-Q of Aug 7, 2026, 10-Q of Nov 6, 2026, 10-Q of May 8, 2026
… potential slowing revenue growth, global economic and geopolitical conditions, including changes in customer spending and inflation, our ability to acquire or develop new solutions, our ability to compete effectively, including our ability to continue to grow our artificial intelligence "AI" infrastructure, compute services and solutions, security risks stemming from ineffective information technology systems or cybersecurity breaches, risks of maintaining global …
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… Additionally, the use of artificial intelligence by bad actors has heightened the sophistication and effectiveness of these types of attacks, and may be used to create attacks that current processes and technologies are unable to adequately address. There have in the past and could in the future be attempts to infiltrate our systems through our supply chain and contractors. Malicious …
Read in the filing ↗ Also in 10-K of Feb 24, 2025, 10-Q of Aug 8, 2025
… potential slowing revenue growth, global economic and geopolitical conditions, including changes in customer spending and inflation, tariffs, trade restrictions, export controls and retaliatory measures, our ability to acquire or develop new solutions, our ability to compete effectively, including our ability to continue to grow our artificial intelligence ("AI") infrastructure, compute services and solutions, including risks that our AI initiatives may …
Read in the filing ↗ Also in 10-Q of Aug 7, 2026, 10-Q of Nov 6, 2026