KDDI picks up 85 percent stake in CDNetworks for $167 million

KDDI America, the U.S. division of KDDI, a provider of international
telecom services, announced that KDDI picked up 85.5 percent stake in
CDNetworks, a global contents delivery network (CDN) service provider
headquartered in Seoul, Korea for approximately $167 million.

CDN services are essential for Internet providers to offer their users
stress-free and comfortable services and contents. CDNetworks operates its CDN
business in 70 cities in 31 countries, focusing on Korea, Japan, China, the
United States and Europe. CDNetworks is highly competitive in Asia, which is a
rapidly growing field of the Internet related business.

KDDI group will add new value,
combining high-quality Internet network and CDN services, to various Internet
service providers including contents providers through the strategic investment
in CDNetworks.

“We look forward to offering Enterprise IT departments a range of
services that can help them speed up the response their customers and internal
users receive from the applications they need to access over the Internet – no
matter where they are in the world,” said Nobutsugu Ogata, director of
Enterprise Product Planning for KDDI America.

In addition, KDDI group will realize offload of further increasing
mobile traffic and build up the network environment suitable for the smartphone
era by adding CDN services in KDDI’s mobile platform.

By Team
[email protected]