GLG News by Akamai Software Users

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Content Owners Struggling To Compare One CDN To Another

April 14, 2008

Analysis of:Content Owners Struggling To Compare One CDN To Another | blog.streamingmedia.com

I've blogged before about how most CDNs don't give out data points in the market or to customers for them to try and fairly compare one CDN to another. It's impossible to measure performance, capacity and many other aspects of a content delivery service offering from one provider to another. I got an e-mail this morning from a content owner who summed up what I hear all the time from customers:

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Why Level 3 Should Acquire Limelight Networks

April 14, 2008

Analysis of:Why Level 3 Should Acquire Limelight Networks | blog.streamingmedia.com

While many seem to think I am crazy for thinking anyone would acquire Limelight, it would make sense for a company like Level 3. Yes, we all know Level 3 has had some problems with the integration of all the acquisitions it has made as of late. But putting that one hurdle aside, there are many reasons why this would make sense in particular for Level 3.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

CDN Survey Data: Price and Customer Service Ranked Most Important

April 14, 2008

Analysis of:CDN Survey Data: Price and Customer Service Ranked Most Important | blog.streamingmedia.com

The StreamingMedia.com survey on CDN pricing is nearing its end and to date we've had 1,041 respondents. We're starting to compile all the raw data for the final report and will be giving away the iPhone this week.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Content Owners See Their Video Traffic Growing 2-4x Over Last Year

April 14, 2008

Analysis of:Content Owners See Their Video Traffic Growing 2-4x Over Last Year | blog.streamingmedia.com

I talk to a lot of content owners large and small and no matter what subject we are discussing, I always ask them for their predictions on their traffic growth for 2008. While many of them share their numbers with me but don't allow me to make them public, the vast majority of content owners are telling me that they expect to deliver 2-4x more bits this year when compared with 2007. For most of them, that does not take into account the fact that this year, many content owners are bumping up their encoding bitrates from 300Kbps to 500-750Kbps. Taking that into consideration, with increased bitrates they could see their traffic growing from 4-8x over last year.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

"Streaming Content to Generate $70 Billion By 2013" - An Unrealistic Claim

April 14, 2008

Analysis of:"Streaming Content to Generate $70 Billion By 2013" - An Unrealistic Claim | www.emarketer.com

Insight Research is forcasting that streaming content will generate almost $70 billion in the U.S. by 2013. I don't know how they come up with that number as I have not seen the full report, but $70 billion? They say the revenue prediction comes from audio and video files transmitted over the Internet, via an IPTV network or to mobile phones. They say that advertising revenue will fuel this growth and that "Questions surrounding consumers’ willingness to pay for content have been dispelled by the popularity of satellite radio and iTunes." I would disagree. Customers are willing to pay for music via iTunes, but so far, not videos on a mass-market scale. Over time, yes, more video specific content via iTunes will be purchased but you have to  back up the $70 billion number with more than just iTunes as an example. And what does satellite radio have to do with streaming?

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Oprah's Second Webcast Does 200,000 Simultaneous Viewers

April 14, 2008

Analysis of:Oprah's Second Webcast Does 200,000 Simultaneous Viewers | blog.streamingmedia.com

This past Monday, Oprah webcast her second class online and peaked at 200,000 simultaneous viewers. While that was down from the 500,000 simultaneous viewers she had for her first class, it's to be expected and is not any indication of failure.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Level 3 Files Suit Against Limelight Networks Over CDN Patents

December 26, 2007

Analysis of:Level 3 Files Suit Against Limelight Networks Over CDN Patents | blog.streamingmedia.com

This morning, Google indexed a filing from December 17th from Level 3 Communications who filed a patent infringement suit against Limelight Networks (Case number 2:2007cv00589) in the District Court of Virgina. I have not been able to get a copy of the filing as of yet but I was able to speak to Level 3 about the filing this morning.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

CDN Funding Continues: CDNetworks Raises $96.5 Million

December 26, 2007

Analysis of:CDN Funding Continues: CDNetworks Raises $96.5 Million | blog.streamingmedia.com

Hot on the heels of EdgeCast announcing it had raised $6 million dollars, content delivery provider CDNetworks announced late yesterday that it had raised $96.5 million in private placement. For CDNetworks, this funding now gives them the ability to make a serious push in the U.S. market for content delivery of video and static content. The funding announcement also coincides with the launch of a new company website.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Video CDN Market $450-$500 Million In 2007: Should Grow To $800 Million For 2008

December 17, 2007

Analysis of:Video CDN Market $450-$500 Million In 2007: Should Grow To $800 Million For 2008 | blog.streamingmedia.com

As we near the end of 2007, I've seen a few reports estimating the CDN space to have been anywhere between $800 million and $1.4 billion for the year. The reports I have seen do not break out what specific "CDN" products they are talking to and how those numbers were calculated. So with that in mind, here is how I sized the market for 2007 and the data I used to come up with the number. This does not include revenue numbers for P2P only based vendors.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Analysts Covering Akamai Should Not Be Worried About AT&T

December 17, 2007

Analysis of:Analysts Covering Akamai Should Not Be Worried About AT&T | blog.streamingmedia.com

This morning, I had about half a dozen e-mails from analysts asking about AT&T and their CDN business. Yesterday, at AT&T's analyst day they announced that they will grow their streaming and caching services by 6x and said they were going to increase their CDN capabilities. Because of this, an analyst at Cowen and Co. downgraded Akamai on concerns of greater competition from AT&T.

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