Akamai Technologies CEO Details AI Inference Cloud Push, 45%-50% Cloud Growth at Conference

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Akamai Technologies (NASDAQ:AKAM) CEO and laminitis Tom Leighton outlined the company’s maturation priorities and however absorption is positioning the concern for an AI-driven displacement successful net workloads, speaking astatine the Raymond James league successful a treatment led by elder telecom expert Frank Louthan.

Leighton said that astir of Akamai’s gross comes from security, which helium described arsenic increasing astatine astir 10%. He cited Akamai’s “market leading” products successful areas specified arsenic web exertion firewall (WAF), DDoS mitigation, and bot management, and said newer offerings—API information and Guardicore segmentation—are increasing “very fast.”

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In Q4, Leighton said API information and Guardicore segmentation delivered $90 cardinal of revenue, up 35% year-over-year, and helium characterized these products arsenic important drivers of aboriginal growth. He besides said Akamai is investing successful AI-related information capabilities, arguing that arsenic enterprises follow much AI, it creates a important caller onslaught surface.

Leighton pointed to unreality infrastructure services arsenic the fastest-growing merchandise area, saying the conception finished Q4 astatine $94 million, up 45% year-over-year. He added that the institution expects maturation to accelerate done the twelvemonth and said Akamai is “calling for 45%–50% maturation successful revenue” for that business.

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He framed Akamai’s compute strategy arsenic an hold of what the institution did antecedently successful contented transportation and security: placing capabilities adjacent to users. By deploying compute logic nearer to extremity users, helium said Akamai tin present little latency, improved scalability, precocious reliability, and competitory pricing.

As a impervious point, Leighton said “all the hyperscalers” usage Akamai’s compute level for mission-critical usage cases, contempt having their ain unreality platforms, due to the fact that Akamai tin supply amended show for latency-sensitive workloads. Examples helium shared included:

Live video: Leighton said 1 hyperscaler uses Akamai for unrecorded sports streaming, successful portion to synchronize viewing truthful “everybody sees the enactment astatine precisely the aforesaid time,” which helium noted tin substance for betting-related applications.
Ad selection: Another hyperscaler uses Akamai for advertisement selection, which helium described arsenic a usage lawsuit wherever velocity benefits from being performed locally.
Commerce performance: He said commerce companies trust connected show and reliability, and that richer, AI-driven idiosyncratic experiences tin construe into higher conversion rates wherever velocity matters.
Real-time instrumentality and robotics management: Leighton referenced a ample caller lawsuit with capabilities to negociate fleets of robots, cars, and automated systems that necessitate real-time responsiveness.