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Akamai and LevelBlue Launch Managed Web App, API Protection Services

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Key Takeaways

  • {\"0\":\"Akamai and LevelBlue debut a managed WAAP service to boost web app and API security.\",\"1\":\"The service offers AI threat detection, DDoS mitigation and 24/7 WAAP specialist support.\",\"2\":\"Akamai sees growing demand for API security, cloud services and Guardicore driving growth.\"}

Akamai Technologies, Inc. (AKAM - Free Report) has teamed up with LevelBlue to enhance web application and API (application programming interface) security with the launch of LevelBlue’s Managed Web Application and API Protection (WAAP) service. The new service delivers adaptive, always-on protection aimed at reducing risk and operational overhead, powered by Akamai’s App & API Protector technology. It integrates next-generation web application firewall (WAF), distributed denial-of-service (DDoS) mitigation, bot protection and core API security, backed by LevelBlue’s dedicated WAAP Operations team.

The launch comes as organizations worldwide accelerate their use of applications and APIs to support digital-first strategies. According to Enterprise Strategy Group, the average number of web apps per company is set to rise from 145 to more than 200 in two years, while API usage will grow dramatically, with 80% of organizations expected to have more than half their applications connected via APIs, up from 32%. This surge brings new challenges, including discovering app and API deployments, scaling protections, swiftly mitigating attacks and ensuring performance remains unaffected. Many companies also face staffing shortages and a growing skills gap, with half of midmarket organizations finding web app and API security harder now than two years ago.

LevelBlue highlighted that by combining LevelBlue’s operational expertise with Akamai’s proven technology, it is offering a simplified, consolidated and predictable approach to protection, helping organizations stay ahead of threats and build cyber resilience.

LevelBlue Managed WAAP is available in two tiers—Essential and Advanced. The service offers 24/7 access to WAAP specialists, automated discovery and classification of critical web apps and APIs, AI-powered threat detection and streamlined security management aligned with DevOps workflows. The solution aims to help organizations automatically secure sensitive assets, adapt quickly to emerging attack vectors and reduce false positives through expert-led policy tuning.

Akamai is actively pursuing the opportunity. With the acquisitions of Neosec and Noname Security, Akamai has accelerated the advancement of its AI-powered API security solution. By leveraging AI capabilities, the solution effectively analyzes APIs, detects vulnerabilities and minimizes risks. With the growing use of APIs, the demand for such solutions is poised to rise among enterprises. These strategic initiatives are expected to drive commercial expansion and generate long-term benefits.

On July 29, 2025, Akamai announced that it formed a collaboration with Aqua Security. With this partnership, the companies aim to work on developing an integrated solution to ensure comprehensive protection for AI applications.

Recently, Akamai reported strong second-quarter 2025 results, with both the top and bottom lines surpassing the Zacks Consensus Estimate. The company reported a top-line expansion year over year, driven by healthy demand trends in multiple end markets. Strong demand for the Guardicore platform, API security solutions and cloud infrastructure services is a key growth driver.

For 2025, Akamai expects revenues in the range of $4.135 billion to $4.2 billion. It expects a non-GAAP operating margin of 29%. Non-GAAP earnings are projected to be in the range of $6.60-$6.80 per share.

Zacks Rank & Share Price Performance

Akamai currently has a Zacks Rank #3 (Hold). Shares of AKAM have plunged 26.6% in the past year against the Internet – Services industry’s growth of 27.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Stocks to Consider From the Internet Services Space

Some better-ranked stocks from the broader technology space are Crexendo, Inc. (CXDO - Free Report) , Sprout Social, Inc. (SPT - Free Report) and HealthStream, Inc. (HSTM - Free Report) . CXDO, SPT and HSTM carry a Zacks Rank #2 (Buy).

Crexendo’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 30.83%. In the last reported quarter, CXDO delivered an earnings surprise of 50%. Its shares have increased 17% in the past year.

Sprout Social’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 25.42%. In the last reported quarter, SPT delivered an earnings surprise of 20%. Its shares have plunged 56.6% in the past year.

HealthStream, Inc. (HSTM - Free Report) earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, with the average surprise being 20.35%. In the last reported quarter, HSTM delivered an earnings surprise of 12.5%. Its shares have decreased 4.1% in the past year.

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