US connected cloud company Akamai Technologies (Nasdaq: AKAM) today announced that it has entered into a definitive agreement to acquire Israeli API detection and response platform company Neosec. No financial details were disclosed.
Founded by CEO Giora Engel and CTO Ziv Sivan, the company has raised $21 million to date, according to Start-Up Nation Central, from investors including TLV Partners, True Ventures, New Era Capital Partners, SixThirty, Mark Anderson, Gary Fish, Mickey Boodaei, Rakesh Loonkar and Shailesh Rao. The founders will be joining Akamai.
Akamai said that Neosec’s API security solution will complement its API security portfolio by extending its visibility into the rapidly growing API threat landscape. The combination is designed to make it easy for customers to secure their API’s by helping them discover all of their APIs, assess their risk, and respond to vulnerabilities and attacks.
Akamai Technologies EVP and general manager Security Technology Group Mani Sundaram said, “With rapidly accelerating digital transformation, APIs are the new frontier for digital business and the enablement of critical business functions. Enterprises expose full business logic, process data via APIs, which, in a cloud-based economy, are vulnerable to cyberattacks. Neosec’s platform and Akamai’s application security portfolio will allow customers to gain visibility into all APIs, analyze their behavior and protect against API attacks.”
Engel added, “What sets Neosec apart from other API security providers is the complete visibility into all API activity and the use of behavioral analytics that detects threats others miss. Unlike other solutions, Neosec delivers rich, XDR-like, API visibility combined with detection and response capabilities that enable full investigation and threat hunting. Ultimately, Akamai customers will have a better view into all of their API activity, to identify vulnerabilities and threats before they are exposed, and detect attacks in runtime.”
The acquisition is expected to close in the second quarter of 2023. For the fiscal year 2023, the acquisition is anticipated to be slightly dilutive to Akamai’s non-GAAP EPS by approximately $0.07 to $0.08 and is not expected to add any material revenue.
Published by Globes, Israel business news – en.globes.co.il – on April 19, 2023.
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