Verizon acquires EdgeCast to boost video capabilities

Verizon will be able to offer more enterprise services to improve video streaming performance and protect websites against attacks

Verizon has signed an agreement to acquire EdgeCast Networks, in an effort to enhance its video delivery and Web services capabilities.

The growth of online video, both in fixed and mobile networks has made content delivery networks such as EdgeCast and the services they offer more interesting. Verizon's Digital Media Services unit will integrate EdgeCast's capabilities to further improve "ability to meet the exponential growth in online digital media content, as well as broaden its portfolio of site acceleration services for enterprises," the operator said on Monday.

With the acquisition, Verizon will get its hands on EdgeCast's content delivery network, a global network of servers that can be used to handle traffic spikes, stream content to thousands of viewers concurrently, or secure websites from attacks, according to EdgeCast.

This isn't the first time this year Verizon has opened its wallet to improve its video distribution capabilities. Last month, Verizon announced the acquisition of technology from upLynk that streamlines the process of uploading and encoding video for live, linear and video-on-demand content.

EdgeCast's list of customers includes Pinterest, Kellogg's, Mercedes, Yahoo and Wordpress.

The financial details of the deal were not revealed, but Verizon's and EdgeCast's board of directors have approved the acquisition and Verizon hopes to finalize it early next year, it said. Once the deal is complete, Verizon will compete with the likes of Akamai Technologies.

Today, online video is the biggest contributor to mobile traffic volumes, constituting 25 percent of total smartphone traffic and 40 percent of total tablet traffic, according to a recent report from telecom vendor Ericsson.

The rising number of smartphone subscriptions is the main driver for mobile-data traffic growth in the coming years. Users consuming more data per subscription -- mainly driven by video -- is adding to this. A compound annual growth rate of around 45 percent for data traffic is expected between 2013 and 2019 or by a factor of 10 during the whole period, Ericsson said.

Send news tips and comments to mikael_ricknas@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags broadbandMergers and acquisitionsbusiness issuestelecommunication4gCarriersVerizon CommunicationsEdgeCast

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Mikael Ricknäs

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?