Akamai Technologies (AKAM) Financial History

Section 404 of the Sarbanes-Oxley Act requires, among other things, that we maintain effective disclosure controls and procedures and internal control over financial reporting.

Provisions of our charter, by-laws and Delaware law could make it more difficult for a third party to control or acquire us, even if doing so would be beneficial to our stockholders.

operations by increasing our vulnerability to adverse changes in general economic and industry conditions and by limiting or prohibiting our ability to obtain additional financing for additional capital expenditures,…

As of the date of this report, we had total principal amount of $1,150.0 million of convertible senior notes outstanding due in 2027, total principal amount of $1,265.0 million of convertible senior notes outstanding…

The long-term effects of climate change on the global economy and our industry in particular remain unknown.

U.S.

Privacy laws are rapidly proliferating, changing and evolving globally.

Artificial intelligence presents new risks, opportunities and challenges that may affect our business.

We utilize third-party software, services and other technology to operate critical functions of our business, including the integration of certain of these technologies into our network, products and services, and in…

We have customer contracts with the U.S.

The fluctuations of currencies in which we conduct business can both increase and decrease our overall revenue and expenses for any given period.

Our future income taxes could be adversely affected by earnings being lower than anticipated in jurisdictions that have lower statutory tax rates and higher than anticipated in jurisdictions that have higher statutory…

Over the past several years, we have implemented internal restructurings and reorganizations designed to reduce the size and cost of our operations, improve operational efficiencies and reprioritize investments, enhan…

Additionally, if we are unable to appropriately increase management depth, enhance succession planning and decentralize our decision-making at a pace commensurate with our actual or desired growth rates, we may not be…

Our failure to manage new risks as our business evolves and our work practices change could harm us.

In addition, our future success will depend upon our ability to attract, train and retain employees, particularly in our expected areas of growth such as security and cloud computing.

support the continued build out of our AI, infrastructure and platform services.

To operate and grow our globally distributed network serving our portfolio of services, we are dependent in part upon transmission capacity provided by third-party telecommunications network providers and co-location…

In addition, we are subject to laws and regulations worldwide that differ among jurisdictions and may change, affecting our operations in areas such as intellectual property ownership and infringement; tax; anti-bribe…

include: foreign exchange rate risks; uncertainty regarding liability for content or services, including uncertainty as a result of local laws and lack of legal precedent; loss of revenues if the U.S.

Our efforts to engineer more secure solutions are frequently costly, with a negative impact on near-term profitability, and may be unsuccessful in preventing security incidents that may have an adverse effect on our b…

To protect our corporate and deployed networks, we aim to continuously engineer more secure solutions, enhance security and reliability features, improve the deployment of software updates to address security vulnerab…

Like other companies in our industry, we, and our third-party providers, have experienced and will continue to experience threats and cybersecurity incidents relating to our information technology systems and infrastr…

We and the third-parties upon which we rely face a variety of evolving threats, which could cause cybersecurity incidents and/or data breaches, such as cyber-attacks, malicious internet-based activity, online and offl…

We may not have in place adequate quality assurance procedures to ensure that we detect errors in our hardware, software and open-source components that we use in a timely manner, and we may have insufficient resource…

Many of our current and potential competitors have substantially greater financial, technical and marketing resources, larger customer bases, broader product portfolios, longer operating histories, greater brand recog…

We compete in markets that are intensely competitive and rapidly changing.

Trying to innovate through acquisition can be costly and with uncertain prospects for success; attractive acquisition targets may be too expensive for us to pursue, which could cause us to pursue more time-consuming i…

Maintaining or improving our profitability depends both on our ability to increase our revenue and limit our expenses.

Additionally, we have offices and employees located in regions that historically have and may again experience periods of political instability, warfare or acts of terrorism, public health crises, changes in laws, tra…

Because we operate globally, our business, revenues and profitability are impacted by global macroeconomic and geopolitical conditions.

In addition, an increasing proportion of our revenue has been generated by our cloud computing solutions.

Our security solutions currently generate the largest portion of our revenue.

The overall revenue growth we have enjoyed in recent years may not continue and could decline, negatively impacting our profitability and stock price.

Slowing, flat or limited revenue growth has in the past and may continue to negatively impact our profitability and stock price.

We cannot be certain that our internal control measures will provide adequate control over our financial processes and reporting and ensure compliance with Section 404.

The Sarbanes-Oxley Act requires, among other things, that we maintain effective disclosure controls and procedures and internal control over financial reporting.

Further, as a Delaware corporation, we are also subject to certain Delaware anti-takeover provisions.

products and business functions are hosted or carried out by third parties that may be vulnerable to these same types of disruptions, the response to or resolution of which may be beyond our control.

quality of our solutions.

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 do…

Regulations have also been enacted or proposed in a number of countries that limit the delivery of certain types of content into those countries.

have to resort to utilizing alternative technology of lower quality.

have a material impact on our overall results of operations or cash flows.

We rolled out our FlexBase program in May 2022, which allows the more than 95% of our workforce designated as flexible to choose to work from an Akamai office, their home office, an approved workspace, or a combinatio…

We believe our culture has been a key contributor to our success to date.

retention efforts.

issuances of securities to finance large transactions; and potential unknown liabilities and regulatory requirements associated with an acquired business.

For example, approximately six percent of our global employees are located in Israel and have been and may continue to be impacted by the Israel-Hamas War.

Ultimately, any type of increased competition could result in price and revenue reductions, loss of customers and loss of market share or inability to penetrate new markets, each of which could materially impact our b…

Many of our current and potential competitors have substantially greater financial, technical and marketing resources, larger customer bases, broader product portfolios, longer operating histories, greater brand recog…

Trying to innovate through acquisition can be costly and with uncertain prospects for success; we may find that attractive acquisition targets are too expensive for us to pursue which could cause us to pursue more tim…

negatively impact our profitability.

If we are unable to increase revenues, our profitability and stock price could suffer.

Revenue we generate from our delivery solutions is impacted by pricing pressure due to competition and fluctuations in content traffic as a result of, among other factors, changes in the popularity of our customers' c…

In addition, enactment and expansion of laws related to the use of AI and machine learning in our operations and increased regulation of cloud service providers also could increase the costs of doing business, subject…

On January 22, 2026, the divestiture was finalized, and a new U.S.-based joint venture assumed operation of the U.S.

Regulations have also been enacted or proposed in a number of countries that limit the delivery of certain types of content into those countries.

Some jurisdictions, particularly the European Union (the "EU"), are also exploring broader “digital sovereignty” frameworks placing operational, ownership, and control requirements that must be met to provide services…

Certain jurisdictions are adopting or tightening data localization and data residency requirements that restrict where customer or employee data may be stored, processed, accessed or encrypted.

and suitability of data sets are all potential issues that could adversely affect our business, reputation, or financial results.

and therefore are more costly to comply with.

employee distraction and unanticipated employee turnover, which could adversely affect our operating results.

As a result of the diversification of our business, personnel growth, the deployment of our FlexBase program, acquisitions and international expansion in recent years, most of our employees are now based outside of ou…

Akamai's platforms, products and services rely on hardware equipment, including hundreds of thousands of servers deployed around the world.

A significant portion of our hiring, new customers and revenue growth in recent years has been attributable to our business outside the U.S.

although we maintain cyber liability insurance, this insurance may not provide adequate coverage against potential liabilities related to any experienced cybersecurity incident or breach.

Our contracts may not contain limitations of liability, and even where they do, there can be no assurance that such terms are sufficient to protect us from liabilities, damages, or claims related to our privacy and da…

to customers, loss of revenue and market share, damage to our reputation, diversion of management attention, increased expenses, reduced profitability and other negative consequences which could harm our business.

services that are broadly competitive with what we do.

the escalation of international tensions and warfare have impacted and could continue to impact global currency exchange rates, resources from our suppliers, availability or pricing of energy and other inputs, our abi…

Revenue from our delivery solutions is impacted by pricing pressure due to competition and fluctuations in content traffic as a result of, among other factors, changes in the popularity of our customers' content inclu…