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

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?