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 as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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