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Can Akamai (AKAM) Regain Growth and Investor Confidence with New Offerings?

Akamai Technologies Inc. (NASDAQ:AKAM) is one of the worst-performing data center stocks in 2025. Its stock’s performance has been quite weak (-20.5%) this year. The Goldman Sachs analyst, Gabriela Borges, captured the essence of this underperformance in her note in mid-August.

She wrote that the stock may continue to remain rangebound until it shows an apparent uptick in growth. The company is lagging as a network security platform, and she remained unsure whether its newer initiatives will be enough to reinvigorate material growth.

Still, the company is taking steps to strengthen its offerings with new products in September. On September 24, Akamai introduced Managed Service for API Performance, a service built on its APIContext platform. In simpler terms, APIs are the digital links that connect apps and services. This solution helps businesses keep their APIs fast, secure, and reliable, and provides round-the-clock monitoring, ongoing testing, and expert analysis. This, in turn, gives companies extra support as they deal with increasingly complex digital operations.

Earlier, on September 12, Akamai launched Media Services Live 5 (MSL5) with partner Harmonic (NASDAQ:HLIT). The new platform, running on Akamai Cloud, is designed to improve live streaming with quicker performance, longer DVR capabilities, and better tools for managing events. These upgrades are especially important for live sports and other large broadcasts, where viewers demand smooth and lag-free experiences.

Through these initiatives, Akamai is broadening its services to capture more business from enterprises and media providers.

Akamai Technologies Inc. (NASDAQ:AKAM) operates a global content delivery network (CDN) and provides cybersecurity and edge computing services.

While we acknowledge the potential of AKAM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AKAM and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: Goldman Sachs Value Stocks: 10 Stocks to Buy and 14 Best Precious Metals Stocks to Buy Now.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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