Content Delivery Networks offer revenue opportunity to Mobile Operators: Strategy Analytics

Telecom Lead America: Content Delivery Networks (CDNs)
will offer a noteworthy revenue opportunity to mobile broadband operators as
they offer` Multi-screen’ delivery of video to smartphones, tablets, laptops
and televisions, premium content services with differentiated Quality of
Service (QoS), and value-based response to the dominance of OTT content
providers, according to Strategy Analytics’ Mobile Broadband Opportunities
(MBO) service report.

 

The focus on multi-screen video delivery could presage a
major operator opportunity for recapturing value from OTT content providers.
CDNs provide paths for mobile operators to be both the -Best Bit Pipe’ for
blind OTT services and the provider of value added -traffic and service aware’
CDN services. Both leverage the operator’s substantial network expertise in
order to establish a competitive advantage,” said Susan Welsh de Grimaldo,
director of Mobile Broadband Opportunities.

 

Recently, the explosion of mobile broadband traffic has
begun to refocus the CDN industry around mobile services and led to the
creation of a new platform licensing model from leading CDN technology vendors
such as Akamai / Ericsson, Alcatel Lucent / Velocix, Edgecast, Jet-stream and
Limelight.

 

These vendors are responding to pressure from service
providers that like to own and sometimes operate their own CDN platforms.

 

Additionally, these technology vendors are offering
-federation ready’ platforms which have enabled several bi-lateral and vertical
market peering relationships.

 

The mobile CDN market is likely to exhibit a positive
`network effect’ as additional users join to send and receive high quality
media content. Premium application and market-focused CDNs could increase
network value exponentially, Telkomsel and TP,” said Sue Rudd, director of
Service Provider Analysis.

 

The report identifies some of the early operators who are
already leveraging CDNs for multi-screen and mobile broadband applications –
AT&T, BT, Deutsche Telekom, KDDI, Orange, SFR, Talk Talk, Telecom Italia.

 

Recently, Motorola Mobility said it will distribute EdgeCast’s content delivery network (CDN)
solutions to service providers worldwide.

 

 As part of the agreement, Motorola becomes a global
distributor and integrator of EdgeCast’s widely deployed CDN platform.

 

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