CDN Provider Akamai Continues to See Growth
CDN provider competition is at an all-time high, with many new companies seeking to knock incumbent operators off their perch by offering new and exciting products. We have seen a host of new providers with innovative products looking to shake up the space, such as Fastly and their SSD points of presence that provide lightning quick storage.
However, it seems that some of the large mainstays of the industry are keeping their head above the pack and offering services
that continue to be attractive to potential CDN customers. One such CDN provider is Akamai, one of the world’s leading providers of content delivery network solutions. They have recently announced the Q4 earnings results, and they point to a great year for the company.
Initially predicted to be US$526.83 million, the company posted revenues of US$536 million. They also beat expert predictions when it came to earnings per share, reporting 70 cents per share compared to the estimates of 63 cents per share. Thanks to the results, Akamai’s stock price rose 4.6% to $65.08.
CDN Provider Media Delivery
It has been assumed that Akamai’s great results rest on their core website acceleration and content delivery network products. This is thanks to a surge in online video and general multimedia consumption online – a trend that shows no signs of abating. Year-on-year, the CDN provider has achieved a 20.6% jump in revenue for their media delivery solutions, with the total figure standing at US$250.1 million.
Speaking of the results, Akamai CEO Tom Leighton said that the company’s “strong revenue results continued to be driven by solid performance across all our geographies and all of our major product lines, with very strong growth coming from our Security and Media products.” Furthermore, Akamai CFO Jim Benson said that the company saw “exceptionally strong holiday traffic.”