Verizon Buys CDN EdgeCast in Support of Digital Video Efforts
Verizon is purchasing EdgeCast, a content-delivery network that will complement its Digital Media Services group.Verizon, continuing to strengthen its ability to deliver mobile video content, has purchased EdgeCast, a Southern California-based content delivery network (CDN). EdgeCast supports thousands of servers that can quickly adjust to traffic spikes and counts Twitter, Pinterest, Yahoo and WordPress among its 6,000 customers. The deal is valued around $350 million, TechCrunch reported Dec. 8, and Verizon expects it to close in early 2014. The boards of both companies have already approved the deal. "Verizon Digital Media Services will integrate EdgeCast complementary capabilities to further improve and increase its ability to meet the exponential growth in online digital media content, as well as broaden its portfolio of site acceleration services for digital enterprises," Verizon said in a Dec. 9 statement. In July, Digital Media Services announced the launch of Verizon Live Events, an online video service for broadcasters and content retailers, with video-streaming partner Origin Digital. Live Events can acquire an event feed, including satellite, terrestrial fiber and Internet feeds, and then "transcode and deliver the content to broadcasters and other commercial customers," Verizon said in a July 8 statement.
In November, Verizon brought more of its video-support services in-house, with the acquisition of upLynk, a cloud-based company that "simplifies the complex issues content owners face by streamlining the process of uploading and encoding TV Everywhere for live, linear and video on-demand content," it said in a Nov. 13 statement.