Akamai Technologies, Inc.

NASDAQ Global Select
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Bullish +75

Akamai gives Anthropic up to 5 percent equity stake in $11.6 billion ...

AI infrastructure New contract AI-generated analysis

🤝 Akamai agreed to supply Anthropic with $11.6 billion of cloud capacity over seven years, a commitment more than six times the size of a prior reported deal.

📈 Instead of taking equity in Anthropic, Akamai issued a warrant on its own stock worth up to roughly 5 percent of outstanding shares at an exercise price of $111.33 per share.

💰 The agreement is contingent on delivery and service-availability requirements, with either party able to end the agreement under specified conditions.

🚀 Akamai expects no revenue in 2026 but guided to $150 million to $300 million in 2027 revenue starting in the second half of the year.

📉 Building the required capacity will cost Akamai about $5.5 billion, with an additional $1.7 billion added to the 2026 capital budget for pre-buying components.

📈 The company is ramping up to an annualized revenue pace of about $1.7 billion by the end of 2028 from this specific deal.

🏆 Akamai shares rose as much as 17 percent in after-hours trading following the announcement, citing The Wall Street Journal.

🔄 This marks the first time Akamai has attached a warrant to any cloud contract, reversing the typical direction of AI infrastructure deals.

📈 The warrant vests once Anthropic makes its first payment and continues in increments for every additional $3 billion committed, up to a $9 billion expansion option.

💡 If the expansion option is exercised, the total deal value could push past $20 billion, vesting the remaining roughly 3 percent of the warrant.

Bullish Signals
  • Akamai shares rose as much as 17 percent in after-hours trading following the announcement of the major partnership with Anthropic.
  • The company secured a massive $11.6 billion commitment from Anthropic over seven years, representing more than six times the size of a previously reported deal.
  • Akamai is ramping up to an annualized revenue pace of about $1.7 billion by the end of 2028 from this specific deal.
  • The unique warrant structure incentivizes Anthropic to expand the contract toward a potential total of $20 billion rather than shop workloads elsewhere.
  • This agreement marks the first time Akamai has attached a warrant to any cloud contract, establishing a new strategic model for AI infrastructure deals.
Risk Factors
  • Building the capacity will cost Akamai about $5.5 billion, requiring a significant upfront investment before returns are realized.
  • The company is adding roughly $1.7 billion to its 2026 capital budget to pre-buy components including memory, increasing near-term cash outflows.
  • The agreement is contingent on Akamai meeting delivery and service-availability requirements, with either company able to end the deal under specified conditions.
Full Analysis
Akamai Technologies announced a significant strategic partnership with Anthropic on September 25, 2026, involving a massive $11.6 billion commitment to supply cloud capacity over seven years. Uniquely, Akamai granted Anthropic a warrant on its own stock worth up to roughly 5 percent of the company's outstanding shares, rather than taking equity in Anthropic as is common in AI infrastructure deals. This agreement covers CPU workloads for Anthropic and represents more than six times the size of a previously reported deal from May 2026. Financially, Akamai expects no revenue from this specific deal in 2026 but has guided to $150 million to $300 million in 2027 revenue starting in the second half. The company plans to ramp up to an annualized pace of about $1.7 billion by the end of 2028. To support this, Akamai is adding roughly $1.7 billion to its 2026 capital budget to pre-buy components including memory and building capacity that will cost approximately $5.5 billion. The market reacted positively to the announcement, with Akamai shares rising as much as 17 percent in after-hours trading. The warrant structure is contingent on delivery requirements and vests based on payment thresholds, incentivizing Anthropic to expand the contract toward a potential total of $20 billion. This deal marks the first time Akamai has attached a warrant to any cloud contract, signaling a major shift in its AI infrastructure strategy.