Akamai’s AI Pivot Wins Cramer’s Praise | Durham News

Jim Cramer just called Akamai Technologies a “terrific” stock — and for good reason. After 28 years dominating web speed, the company is now betting big on AI and cybersecurity, led by its MIT math whiz CEO. Security is now their top business, and they’re renting out cloud computing power to run AI models — even partnering with Nvidia across 4,400 locations. Massive multi-year deals, including $1.8B with Anthropic and $600M with a U.S. robotics firm, signal a strong AI revenue runway. While Q2 profits dipped due to heavy spending, revenue rose 5%, security jumped 10%, and cloud infrastructure surged 39%. The old website delivery biz is shrinking — growth is coming from these new segments. But beware: Akamai’s capital expenditures are nearing 40% of revenue, stock buybacks are paused, and investors may need patience to see the payoff.

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This is an automated, high-level news summary based on public reporting.
Sources:
https://www.heraldsun.com/news/business/article317231050.html#storylink=partnerdigest_the

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