DDoS Mitigation Is Becoming a High Volume Low Margin Business, How Fastly A/B Tests at The Edge And More in This Weeks News

Shalom Carmel Chief Information Officer at GlobalDots
4 Min read

High volume, low margin means domination for giants like Akamai

Right now, as Bizety clearly states, Akamai has the biggest market opportunity ever in the DDoS Mitigation service industry. Reason for this is that DDoS mitigation is splitting up into two market segments – one segment being protection from large scale DDoS attacks and the other one being protection from intelligent DDoS attacks targeting the application layer. In the first segment there is currently only one company that can handle a multi-Tbps DDoS attack, and that is Akamai. In 6-12 months companies like Level 3, Verizon, Google, Azure and AWS will start to be able to compete in this market segment.

A view of Times Square featuring large digital billboards,including advertisements for Akamai and Nasdaq.

Read more: Bizety

Book a demo today to see GlobalDots is action.

Optimize cloud costs, control spend, and automate for deeper insights and efficiency.

Book a demo today to see GlobalDots is action.

A/B testing at the edge

Fastly published an interesting post about A/B testing at the edge and how exactly do they do it. A/B testing means sending traffic to two different variants of the same page and seeing which one works better in favor of your objective or business goal. What Fastly does is they A/B test at the edge, which means closer to their users. This enables users to not suffer decreased performance while a seperate segmentation service is consulted, and also prevents delays on the client while it re-renders the page.

A/B testing can be as simple or as complicated as you want it to be. You can build elaborate multivariate test frameworks, or use a variety of commercial tools to set up tests either serverside or clientside. Sometimes, you just want to run a quick check to validate that a change didn’t make anything worse — perhaps a lack of change is exactly what you are looking for. Either way, you won’t know for sure until you look.

Read more: Fastly

Dyn outage analysis by Cloudflare

Dyn has issued an official statement about the outage of their DNS service which we’ve mentioned in the previous week, but now, all over the internet we are seeing detailed reports of what actually happened in great detail. One of the best coverage is done by Cloudflare on their blog. Cloudflare, as you may know, has customers that also use Dyn Managed DNS and they’ve explained why these customers experienced lower traffic. Long story short, in the second case below where the origin is configured with a CNAME, Cloudflare needs to perform an external DNS lookup to resolve the target of the CNAME to IP addresses. In many cases the target of a CNAME is handled by a third party DNS provider and if the DNS provider (Dyn in this case) is unable to answer the query, Cloudflare is unable to resolve the domain to an origin IP and cannot serve the request.

Diagram illustrating two configurations for Cloudflare: one with A/AAAA records and another with a CNAME for the origin.

Read more: Cloudflare

Takeaways from the Dyn outage

The latest DDoS attacks on Dyn and Brian Krebs are a defining moment for the CDN industry because up until last year, content delivery companies weren’t concerned with large-scale DDoS attacks. We’ve already stated that Akamai is the only mitigation provider right now who can handle 1Tbps attacks, but 2Tbps attacks are just around the corner! Here are some takeaways:

  1. Dyn has two choices: Partner up with Akamai or build massive capacity
  2. Large content companies will employ a multi-DNS provider strategy, possibly building some internal capabilities
  3. Expect that IoT DDoS attacks will become the new norm and start happening on a weekly basis
  4. The DDoS Mitigation business will become a high volume, low-profit business similar to video streaming which means DDoS Mitigation PoPs will cost around $2M per year
Diagram illustrating an epoxy SIP architecture with multiple 100G Ethernet ports.

Read more: Bizety

Financial services too?

Akamai stated that the Dyn outage also had impact across the financial services industry – banks, insurance companies and others. Here’s a short preview for US banks, and if you want to read more about specifics, follow the link below.

Graph showing U.S. banks' homepage test impacts on Oct. 21 with failure markers.

Observations:

1. The first impact is shown beginning at 7:10 AM EDT, with a drastic increase in page response times for a number banking home pages. This 7:10 mark matches the attack time of 11:10 UTC reported by Dyn.

2. The second major impact started at 11:50 AM EDT.  This also matches the time of the second attack reported by Dyn.

3. There was residual impact late into the evening for a number of banks, again matching Dyn reports.

4. Some banks had complete failures of their home pages during this period.

5. Close examination shows that 28 of the 42 banks (2 out of 3) had impact due to this event on Oct. 21.  (Please don’t draw the conclusion that “two-thirds of the banks in the U.S. were impacted by the attack”.  We are only looking at 42 of the more than 6,000 banks on the FDIC list of banks in the U.S.) 

Read more: Akamai

Latest Articles

10 API Security Best Practices for 2025

APIs are the backbone of today’s interconnected software. They power everything from mobile apps and SaaS platforms to internal microservices and partner integrations. But their rapid growth has left many security teams flat-footed. In 2025, many attackers prefer to exploit API misconfigurations hiding in plain sight. What used to be fringe cases (token leakage, zombie […]

Ganesh The Awesome
23rd June, 2025
API Security in 2025: Practical Assessment & Modern Protection Strategies

APIs are no longer an edge case. In 2025, they’re a core requirement for maintaining trust, compliance, and operational continuity. As organizations build more API-driven systems—from customer apps to internal microservices—the exposure risk compounds. And quickly, too. Even mature security teams are finding that traditional tools can’t keep pace with the volume, velocity, and nuance […]

Ganesh The Awesome
23rd June, 2025
MVP to Production-Grade: How to Fix Scaling Bottlenecks Before They Break You

This webinar & podcast are built for founders, CTOs, and VPs navigating the critical shift from MVP to production-grade infrastructure. Learn how to avoid scaling pitfalls, build resilient systems without over-hiring, and make the right decisions now to support rapid, sustainable growth. Join us to unlock practical strategies and real-world lessons from companies that have […]

Ganesh The Awesome
12th June, 2025
SAST vs DAST vs IAST: Application Security Testing Explained

A great majority of security flaws are introduced during development, but most aren’t found until much later, when they’re costlier to fix. That delay is precisely why application security testing (AKA AppSec testing) needs to occur early, frequently, and at multiple layers. SAST, DAST, and IAST are designed to do just that. But too often, […]

Shalom Carmel
10th June, 2025

Unlock Your Cloud Potential

Schedule a call with our experts. Discover new technology and get recommendations to improve your performance.

    GlobalDots' industry expertise proactively addressed structural inefficiencies that would have otherwise hindered our success. Their laser focus is why I would recommend them as a partner to other companies

    Marco Kaiser
    Marco Kaiser

    CTO

    Legal Services

    GlobalDots has helped us to scale up our innovative capabilities, and in significantly improving our service provided to our clients

    Antonio Ostuni
    Antonio Ostuni

    CIO

    IT Services

    It's common for 3rd parties to work with a limited number of vendors - GlobalDots and its multi-vendor approach is different. Thanks to GlobalDots vendors umbrella, the hybrid-cloud migration was exceedingly smooth

    Motti Shpirer
    Motti Shpirer

    VP of Infrastructure & Technology

    Advertising Services