The following is a summary of the Akamai Technologies, Inc. (AKAM) Q1 2024 Earnings Call Transcript:

Financial Performance:

Akamai Technologies reported Q1 revenue of $987 million, up 8% year-over-year both as reported and in constant currency.
Non-GAAP operating margin was 30%, with non-GAAP earnings per share at $1.64, up 17% year-over-year, and 18% in constant currency.
Revenue from security and cloud computing, representing about two-thirds of total Q1 revenue, grew 22% over Q1 of 2023.
The company’s Content Delivery Network (CDN) saw an 11% decline in revenue year-over-year.
Akamai expects compute revenue growth of about 21% to 23% in fiscal year 2024.
Projections for full year capital expenditure (CapEx) sit at around 16% of total revenue.

Business Progress:

The company progressed in its Security and Compute portfolios, with security revenue growing by 21% year-over-year in Q1, driven by demand for Akamai’s Guardicore Segmentation Solution.
Akamai announced the upcoming acquisition of Noname Security to bolster their API security offerings.
CDN continues to be crucial for businesses amidst increased cloud migration, reliance on secure applications, and AI use.
Continuing investments in Research and Development (R&D) and acquisitions are expected to drive growth.
Akamai reported a transition of their third-party cloud spend onto Akamai Connected Cloud, resulting in savings and performance improvements, along with an investment in compute locations and GECO build out.
New capabilities were showcased at RSA that harness AI to enhance enterprise infrastructure security and they foresee potential substantial use of their platform for AI.