Akamai Technologies recently made an announcement to acquire Nominum, a provider of DNS and enterprise security solutions for telcos, with an aim to add complementary security capabilities to Akamai’s security product portfolio. The move will also expand Akamai’s distribution to carriers serving enterprise customers.
Akamai already offers enterprise-grade security and threat intelligence, and by acquiring privately-funded Nominum, Akamai will integrate the carrier-grade cybersecurity with its security portfolio and serve a large base of customers with better security offerings.
The cyberattacks are becoming more common with attackers looking for even a minute gap to exploit the enterprises. The new products from Akamai will offer more effective security services that can identify, block, and mitigate the cybersecurity threats including malware, ransomware etc.
“Akamai knows how critical it is for carriers and enterprises to ensure their online experiences are safe, reliable and fast for their users,” said Robert Blumofe, Executive Vice President, Platform & General Manager, Enterprise and Carrier Division. “We believe this acquisition is a key investment in our security capabilities because Nominum will bring complementary technology, engineering, technical support and sales talent to better reach and serve our carrier partners and their enterprise customers” he added.
Because of the integration costs and purchase accounting impact on company’s revenue, Akamai is expecting this acquisition to be dilutive to its non-GAAP earning in Q4 this year, and in 2018. The expected dilutive impact for Q4 2017 is approximately $0.05 and $0.11 for fiscal 2018.