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April 14, 2008

CDN Survey Data: 52% Have No Commit Contracts, 63% Use One CDN Vendor

This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Analysis By:
Dan Rayburn, Principal and EVPDan Rayburn
Principal and EVP, StreamingMedia.com
Implications: The StreamingMedia.com survey on CDN pricing and trends has now been filled out almost 1,000 times. I'll be keeping it open for another week or so and then we'll start to compile all the data and give away the free iPhone. Taking a look at some of the preliminary data that has been collected reveals some great data points which I will be showcasing all this week on the blog.

Analysis:

When it comes to the length of CDN contracts, customer commit levels and dual-vendor strategy, there has a been a lot of speculation in the market on what the trends are. Here is the data we collected from nearly 1,000 respondents, 25%+ of which are doing over 25TB of delivery per month.

  • 60.8% of respondents said they had a 12 month contract with their CDN. Only 12.9% had a two year deal.
  • 73.5% said that when they renegotiate their contract, they don't plan to change the length. Only 12.4% said they planed to sign a longer term contract.
  • 52.3% of respondents said their CDN contract had no revenue or bandwidth commitment at all. 25.3% have a monthly commit, 6.7% a quarterly commit and 11.4% have a yearly commit.
  • 63.3% of respondents said they used only one CDN vendor for the delivery of video and static content. 26.% use two CDNs and 10.3% use three or more.

You can download the pie chart data for the questions here:(Download CDN-Contract-Data.jpg)



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Generated at 2008-09-06T21:45:17.077