Kate Fitzsimons's questions to Akamai Technologies Inc (AKAM) leadership • Q1 2025
Question
Kate Fitzsimons, on for James Fish, asked whether the perceived weakness in the Security segment was more attributable to new customer acquisition or expansion within the existing customer base.
Answer
CFO Ed McGowan corrected the premise, stating there was no 'weakness' as the segment's performance was in line with internal expectations. He explained that since most revenue is recurring, in-quarter growth from new sales has a limited immediate impact. He concluded that the mix of new versus upsell revenue was typical for any given quarter.