Akamai Strengthens API Security with Noname Acquisition

Akamai Technologies, Inc., the cloud company that powers and protects life online, announcesthat it has entered into a definitive agreement to acquire application programming interface (API) security company,NonameSecurity. Noname, one of the top API security vendors in the market, will enhance Akamai’s existingAPI Securitysolution and accelerateitsability tomeetgrowingcustomer demandand market requirements as the use of APIs continues to expand. Akamai also expects to gain greaterscalewithNoname’sadditionalsalesandmarketingresources,andestablishedchannel and alliance relationships.

“Applicationsrunourworld,butasapplicationsandusersproliferate, sodosecurityrisks,”said Mani Sundaram, executive vice president and general manager, Security Technology Group, Akamai Technologies. “Akamai has seen a growing need for API protection with our own data showing 109% year over year growth in API attacks. With the addition of Noname, Akamai believes it will have the breadth of integrations and deployment choices needed to deliver comprehensive API protection for customers across all environments.”

As a result of the acquisition, Akamai expects to offer a complete API security suite enabling customersto better discover “shadow” APIs and detect vulnerabilities and attacks. Akamai’s enhanced offering expects to have greater deployment choices for customers and access to a portfoliooftechnologyintegrationsthatisunrivaledinthemarket. Akamaialsoplanstointegrate Noname for use by customers of Akamai’s Application and API platform shortly after the acquisition is closed.

“API development continues to proliferate as customers prioritize their investments in application modernization and digital transformation initiatives,” said Oz Golan, chief executive officer and co-founder, Noname. “Combining Noname with Akamai’s API Security offering will provide asolution for any typeof customer. Nomatter wherethecustomer’s applications reside –beitinthecloud,nativelyontheedge, on-premise,oronothervendorplatforms–theywillbeprotected.”

Under terms of the agreement, Akamai has agreed to acquire all of the outstanding equity of Noname for approximately $450 million, after customary purchase price adjustments. The closingofthetransaction,whichissubjecttocustomaryclosingconditions,isexpectedtooccur in the second quarter of 2024.

For the fiscal year 2024, the acquisition is anticipated to deliver approximately $20 million of revenue,bedilutivetonon-GAAPoperatingmarginbyapproximately0.50%,andbedilutiveto non-GAAP net income per diluted share by approximately $0.10. On its upcoming quarterly earnings callscheduled for May 9, 2024, Akamai plans to provide first quarterfinancial results and second quarter and full year 2024 financial guidance, including any expected impact fromNoname.

Noname,headquarteredinSanJose,California,isaprivatelyfundedcompany.Noname'sover 200 employees, including CEO and Co-founder, Oz Golan, are expected to join Akamai’s Security Technology Group.

Formoreinformation,visittheAkamaiapplication and API securitypage.