AKAMAI TECHNOLOGIES INC (AKAM) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that AKAMAI TECHNOLOGIES INC surfaced in its latest filing.

• Iranian strikes on data center facilities in the Persian Gulf in early 2026 caused structural damage, prolonged service outages, and physical destruction of computing equipment.2026
• AMD 'Inception' vulnerability identified in mid-2023 that potentially impacted a large portion of the internet ecosystem.2023
• Restructurings in Q1 2023, Q3 2024, and Q4 2025 included headcount reductions.
• 2025 changes to sales organization and sales compensation structure.2025
• OECD Pillar Two 15% global minimum corporate tax enacted in some countries applied to us beginning January 1, 2024 and increased our effective income tax rate, but did not materially impact results or cash flows.January 1, 2024
• India's 2020 restrictions prohibiting access to identified Chinese-owned applications caused a reduction in revenue to us.2020
• April 2024 Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA) prohibited provision of certain types of services to a Chinese application if the application was not sold to a neutral third party by January 19, 2025.April 2024
• Executive Orders delaying enforcement of PAFACA culminating in a September 25, 2025 order declaring a proposed sale of the Chinese-owned application's U.S. operations to a new joint-venture company complied with PAFACA's divestiture requirements and extended non-enforcement until January 23, 2026.September 25, 2025
• Received an Attorney General determination that Akamai services had not violated the law and could continue providing services as contemplated by the Executive Orders without violating the law and without incurring any legal liability.
• On January 22, 2026, the divestiture was finalized, and a new U.S.-based joint venture assumed operation of the U.S. application.January 22, 2026
• Total principal amount of $1,150.0 million of convertible senior notes outstanding due in 2027.2027
• Total principal amount of $1,265.0 million of convertible senior notes outstanding due in 2029.2029
• Total principal amount of $1,750.0 million of convertible senior notes outstanding due in 2030.2030
• Total principal amount of $1,750.0 million of convertible senior notes outstanding due in 2032.2032
• Total principal amount of $1,725.0 million of convertible senior notes outstanding due in 2033.2033
• In November 2022, we entered into a credit agreement, which was amended in May 2025 to increase the aggregate revolving commitments to $1.0 billion.May 2025
• We also entered into a credit agreement in January 2025 providing for a $150.0 million revolving credit facility.January 2025
• As of June 30, 2026, there were no outstanding borrowings under the credit facilities.June 30, 2026
• EU's Artificial Intelligence Act (AI Act) began implementation on August 1, 2024, with significant provisions scheduled to take effect in August 2026.August 1, 2024
• January 8, 2025 DOJ rule on 'Preventing Access to U.S. Sensitive Personal Data and Government-Related Data by Countries of Concern or Covered Persons' prohibits data brokerage transactions involving certain sensitive personal data categories to countries of concern, including China.January 8, 2025