It was founded in 2020 and is currently one of the top API security vendors in the world. After emerging from stealth in a year, Noname has reached unicorn status, as of 2021. As a result of the $220 million funding raised, Noname will be able to expand Akamai's existing API Security offering to satisfy customer demand and market demands. 

In addition to scaling up Akamai's sales and marketing resources, the acquisition will also enable Akamai to expand its existing API Security solution. Upon acquiring Akamai, the company will provide a comprehensive API security suite including shadow API detection and vulnerability and attack detection. Akamai powers and protects life online through its platform. 

Millions of people live, work, and play on Akamai's digital experiences every day, and leading companies around the world choose Akamai to help build, deliver, and secure them. A massively distributed edge and cloud platform from Akamai, Akamai Connected Cloud puts users closer to applications and experiences and keeps threats at bay. 

The Akamai acquisition will enable Akamai to provide customers with an API security suite that will enable them to find and detect “shadow” APIs as well as vulnerabilities and attacks better. In addition to providing customers with an enhanced deployment choice, Akamai's enhanced offering is expected to include a portfolio of unparalleled technology integrations in the industry. 

In addition to integrating Noname into Akamai's Application and API platform soon after the acquisition is complete, Akamai also plans to make Noname available to Akamai's customers as soon as possible. Among the many announcements that Akamai Technologies Inc., a provider of content delivery networks and cloud services, made today was Akamai's announcement that it would acquire Israeli application programming security company Noname Security for approximately $450 million. 

The two companies were reported to be in talks about a deal in February. According to a recent report published last month, talks between the two companies were in the advanced stages, with a $500 million acquisition price possible. Noname Security was founded in 2020, and its security platform provides enterprises with a comprehensive way of observing and safeguarding all kinds of application programming interfaces, regardless of whether they are managed or unmanaged. 

In a bid to “eliminate API blind spots,” this company’s platform was designed to protect enterprises from data leakage, authorization issues, abuse, misuse, and corruption of data. It has raised approximately $220 million to date at Noname Security, and when it raised a $135 million Series C round in December 2021, the startup was valued at $1 billion. 

In other words, the current deal represents a significant disappointment to the company's investors, especially the ones who came in at later stages, like Georgian and Lightspeed, as the deal represents a significant disappointment to most of them. The Syndicate Group (TSG), Insight Partners, Cyberstarts, Next47, and Forgepoint are also among the other investors. This deal underscores the fact that the cybersecurity market is continuing to consolidate as more companies seek to develop their products. 

There have been several cybersecurity startups that have emerged over the last few years, and the number continues to grow. It has been found that many of these companies struggle to scale, raise money or sell their products to customers who are looking to purchase a single point of contact to manage multiple security needs, which is why bigger players are buying the smaller and more promising of these smaller companies. 

In some cases, these discounts may not be as steep as you might think. The last private fundraise of Noname was valued at $1 billion in December 2021, so it is now valued at less than half that amount, making it one of the most expensive private companies in the world. Even though this discount may not be the worst, Wiz was negotiating to acquire Lacework Security for $168 million, a narrowly smaller value than its previous valuation of $8.3 billion, which was a blow to the company. 

There was, however, a problem during due diligence on that deal, which led to its failure. According to Akamai's press release, Noname will be integrated into their API Security business, which is expected to generate revenue of approximately $20 million for the company in fiscal year 2024 as a result of the acquisition. In the meantime, Oz Golan, co-founder and CEO of Noname, explained that the firm would be protected by Akamai when it acquired the firm, ensuring customers' apps were protected across various environments as well as platforms of various vendors.