Fastly provides edge cloud computing services that run data processing and application logic near users to reduce latency and improve performance. Customers deploy code at the network edge using Edge Compute Language, manage services through APIs, and rely on edge caching and security to speed up and protect content. It differentiates itself with a programmable, developer-focused edge platform and a global edge network, along with usage-based pricing. The goal is to enable faster, safer online experiences by moving computation and delivery closer to users across industries.
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1,001-5,000
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IPO
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Founded
2011
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Fastly named a Leader in 2026 IDC MarketScape for Worldwide WAAP Platforms. Fastly | Published 16 Oct 2026 COMPANY NEWS: Company brings delivery, security, and compute together to accelerate enterprise innovation at global scale Fastly, Inc. (NASDAQ: FSLY), a leader in global edge cloud platforms, today announced it has been named a Leader in the IDC MarketScape: Worldwide Web Application and API Protection Platforms 2026 Vendor Assessment. Fastly has continued to invest in the security portfolio of its edge cloud platform, bringing delivery, security, and compute together to help businesses move fast and stay safe in the AI era. The company's security offerings include Next-Gen WAF, Bot Management, DDoS Protection, API Security, AI Firewall, and Client-Side Protection, all running inline on its global network. Fastly's security portfolio includes patent-pending deception technology that goes beyond blocking account takeover attempts by returning intentionally false information to attackers, cross-customer threat intelligence that supports preemptive policy decisions, and AI bot management that helps customers control how AI crawlers and bots access their content. According to the IDC MarketScape, "Detection is powered by two proprietary engines, SmartParse for WAF and the Adaptive Threat Engine for DDoS, delivered inline at every point of presence rather than through centralized scrubbing centers." In our view, these capabilities help to address a changing threat landscape as bot traffic exceeds 50% in many industries based on Fastly traffic in January 2026 and AI brings new challenges for businesses. The report also noted that Fastly reported a "98.7% annual revenue retention rate for the fiscal year ended December 31, 2025, and 117% last 12 months (LTM) net retention rate as of June 30, 2026." "Complexity is fractalizing. Every enterprise has seen an explosion in APIs, speed of change, and AI agents and bots calling them. Single, siloed defenses do not work. Fastly runs differentiated layers of defense that compound as applications multiply," said Kelly Shortridge, Chief Product Officer at Fastly. "I believe being named a Leader in this year's IDC MarketScape for WAAP Platforms reflects our depth of investment in protecting our customers' AI-native applications - from patent-pending Deception to our more recent API Enforcement and AI Firewall." Fastly's edge cloud platform helps enterprises build and scale secure, high-performance applications closer to users and data. To learn more about Fastly's edge cloud platform or access a complimentary copy of the IDC MarketScape excerpt, visit www.fastly.com. IDC MarketScape: Worldwide Web Application and API Protection Platforms 2026 Vendor Assessment, September 2026, IDC # US54130626.
Fastly named Leader in IDC MarketScape WAAP assessment. Fri, 16th Oct 2026 (Today) Fastly has been named a Leader in the IDC MarketScape: Worldwide Web Application and API Protection Platforms 2026 Vendor Assessment, placing it among the vendors assessed in the web application and API protection market. IDC MarketScape said Fastly's detection relies on two proprietary engines: SmartParse for web application firewall functions and the Adaptive Threat Engine for distributed denial-of-service protection. According to the assessment, both are delivered inline at every point of presence rather than through centralised scrubbing centres. The assessment comes as companies face rising volumes of bot-driven web traffic and growing complexity in how applications are built and exposed through APIs. Fastly said bot traffic exceeded 50% in many industries, based on traffic on its network in January 2026. It linked that figure to broader shifts in online security as artificial intelligence tools and automated agents become more common. Fastly's security products include Next-Gen WAF, Bot Management, DDoS Protection, API Security, AI Firewall and Client-Side Protection. The company said these services run inline on its global network as part of its broader edge cloud platform. Security focus The company has expanded that portfolio with features aimed at newer attack patterns and traffic management concerns. These include patent-pending deception technology designed to respond to account takeover attempts by returning false information to attackers, as well as cross-customer threat intelligence intended to support pre-emptive policy decisions. Fastly also highlighted AI bot management tools that let customers control how AI crawlers and bots access their content. AI-generated traffic has become a growing issue for publishers, online retailers and digital platforms that need to distinguish between legitimate automated access, malicious scraping and abusive traffic. The IDC MarketScape report also cited customer retention figures disclosed by Fastly. It noted that the company reported a 98.7% annual revenue retention rate for the fiscal year ended December 31, 2025, and a 117% last 12 months net retention rate as of June 30, 2026. Those metrics offer one indication of customer stickiness in a competitive market, where vendors are trying to combine application delivery, cloud security and edge infrastructure into broader platforms. For customers, the appeal of that model often depends on whether one provider can reduce operational complexity across multiple layers of internet-facing services. Market backdrop Web application and API protection, often referred to as WAAP, has become a more prominent category as businesses shift more services online and expose more application interfaces to partners, developers and internal systems. APIs are now central to mobile apps, eCommerce systems, software integrations and machine-to-machine communications, making them a larger target for abuse and misconfiguration. At the same time, cybersecurity teams are dealing with more fragmented environments. Organisations often use separate products for web application firewalls, bot mitigation, DDoS defence, API discovery and client-side monitoring. That can create operational overhead and leave gaps between tools. Fastly argues that those defences should operate together on the same network layer. It has positioned its edge-based model as an alternative to architectures that route traffic to centralised cleaning or inspection points before it reaches applications. Kelly Shortridge, Chief Product Officer at Fastly, said the volume of APIs and automated traffic has made older approaches less effective. "Complexity is fractalising. Every enterprise has seen an explosion in APIs, speed of change, and AI agents and bots calling them. Single, siloed defences do not work. Fastly runs differentiated layers of defence that compound as applications multiply," Shortridge said. Shortridge also linked the IDC MarketScape designation to the company's recent product development in application and AI-related security. "I believe being named a Leader in this year's IDC MarketScape for WAAP Platforms reflects our depth of investment in protecting our customers' AI-native applications - from patent-pending Deception to our more recent API Enforcement and AI Firewall," Shortridge said. IDC MarketScape's comments on Fastly's inline deployment model and its retention rates suggest the company is seeking to differentiate itself on both technical architecture and customer performance as WAAP buyers weigh how to protect increasingly automated application environments.
Fastly stock returned 241.5% in the twelve months to October 9, 2026, far ahead of the S&P 500's 17.0% gain. Sales growth has picked up and losses have narrowed. The first sign came on February 12, 2025, when management outlined a plan to sell its full range, including security and bot protection. Revenue grew 8.2% in the quarter ended March 2025 and 12.3% in the second quarter, though the operating loss was still 24.6% of revenue. Second-quarter 2026 revenue rose 23% to $183.3 million, with security up 43%. The trailing twelve-month operating loss narrowed to 12.0% of revenue. Fastly guided third-quarter revenue to $184 million to $190 million. It reports results on November 4, 2026.
Fastly shares surged nearly 16% on Friday after Oppenheimer upgraded the edge cloud platform provider, citing growing contract values and early monetisation of agentic AI traffic. The brokerage expects these trends to sustain stronger growth over the next few years, driving the stock to a higher valuation as Fastly delivers growth and margin expansion. Oppenheimer's industry checks indicated higher contract values alongside early monetisation of traffic from agentic AI applications. The firm believes these trends could drive growth in the high teens to low 20s over the next few years. Fastly's second-quarter revenue grew 23% to $183.3 million, with security revenue up 43% to $41.7 million. The company is scheduled to report third-quarter earnings on 4 November.
Comcast and Fastly have partnered with NBCUniversal to improve streaming quality for Peacock's live sports events by moving content closer to viewers. The collaboration runs Fastly's content delivery software directly on Comcast's distributed network of over 200 edge computing centres across the US. The approach addresses the massive infrastructure demands of live sports streaming, where millions of viewers arrive simultaneously. By processing content within Comcast's network rather than from centralised external locations, the system reduces duplicate traffic and delivery distances. The model particularly benefits major sporting events on Peacock, including NFL, NBA, and MLB games. Beyond live streaming, the underlying technology could support gaming, cybersecurity, AI inference, and enterprise cloud services. Comcast continues exploring additional applications for its edge computing resources.
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Industries
Company Size
1,001-5,000
Company Stage
IPO
Headquarters
San Francisco, California
Founded
2011
Find jobs on Simplify and start your career today