Akamai Technologies cuts off 300 jobs

Akamai Technologies did not provide specific details on the geographic or organisational aspects of the reduction. The company recorded a $45 million restructuring charge in the first quarter of this year, primarily relating to severance costs and facility-related charges, as it continues to decrease its real estate footprint

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Web services company Akamai Technologies has announced that it will be laying off nearly 3 percent of its global workforce, which is expected to affect around 300 employees. The US-based internet company disclosed the layoffs during its financial results for the quarter that ended on March 31st.

Akamai is aiming to focus on its highest growth areas and maintain profitability, as it plans to prioritise investments in the areas with the greatest potential for future growth.

However, Akamai did not provide any specific details on the workforce reduction, such as which geographic regions or organisational areas would be affected.

Despite the layoffs, Akamai reported $916 million in revenue for the first quarter, which represents a 1% increase over the same quarter last year. However, the profit was $97 million, a 27 percent drop. While acknowledging the substantial macroeconomic uncertainty, Leighton, CEO, Akamai, expressed his belief that it’s also a time of great future opportunity for Akamai as they bring new security and compute capabilities to the market and deploy the Akamai Connected Cloud.

Last year, Akamai acquired Linode, an infrastructure-as-a-service (IaaS) platform provider, for $900 million as part of its strategy to expand its cloud offerings and bolster its security and edge computing capabilities.

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