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Akamai Shares Jump on Cloud-Computing Profit Boost

Akamai Technologies Inc., a companythat helps businesses deliver data more quickly over theInternet, had its biggest gain in six years afterwards demand forcloud computing bolstered sales and revenues.

Chief Executive Officer Paul Sagan, who plans to step downby the end of 2013, is making the company less dependent on itscontent-delivery business, where it faces a crowded field ofcompetitors. To diversify and improve its profit margins, Akamaiis adding more cloud-computing services, which help businesseshandle tasks just as security and commerce.

"Even in tough economic times, companies are continuingtheir shift to do more business on the Internet," Sagan said inan interview. "That's Akamai's sweet spot."

The third quarter of $332million to $342 million

Akamai projected revenue in the third quarter of $332million to $342 million, beating the average estimate of $331.2million. Revenues will be 40 cents to 42 cents a share, comparedwith the 38 cents analysts had predicted.

More information: Bloomberg
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