Content Delivery Networks: Global Markets

  • April 2013
  • -
  • BCC Research
  • -
  • 121 pages

INTRODUCTION

Content delivery networks (CDN) are the critical infrastructure required by industry players in the value chain for delivering consumer content such as video, multimedia applications and business-to-business applications. These players include content creators, aggregators and providers of advertising, media, and commerce and communications network services—including traditional telecommunications firms, hosting firms and Internet service providers.

CDN’s implement traffic management and caching systems that replicate the content closer to the user. This minimizes the number of network nodes the content must traverse and thereby decreases delays, improving performance. This capability is vital during peak periods where the network traffic spikes due to high demand for content during certain time periods or in certain locations.
In addition to creating a new set of technical requirements that necessitate enhanced and new network equipment and software, CDNs are also opening new business models for traditional service providers and pure-play content delivery service providers. Enterprises are also considering how they can use the technology to create internal CDNs for both public and private content.

STUDY GOALS AND OBJECTIVES

This report is intended to:
• Provide a comprehensive view of the content delivery networks market both globally and by region, focusing on the revenue the market will generate for suppliers of hardware, including routers, switches, storage devices and servers.
• Provide an understanding of the key drivers of the market, including Internet adoption, mobile device proliferation and content demand.
• Provide an understanding of the key technology issues—specifically the limitations of the Internet as originally designed and deployed—which provide a market for content delivery network hardware and content delivery service providers and services.
• Provide an understanding of the major service providers that comprise the ecosystem of potential content delivery customers.
• Provide profile of the major content delivery network providers and the suppliers that are addressing their requirements.

REASONS FOR DOING THE STUDY

The CDN market provides a growing opportunity for suppliers, yet market data focus on the value of content services from an end-user’s perspective. This study specifically looks at the supply side of the equation for technology platforms.

INTENDED AUDIENCE

Suppliers of networking equipment and software, primarily routers, switches, storage devices and servers are the main INTENDED AUDIENCE. However, service providers can also benefit from understanding the demand drivers, peer providers and suppliers that they may be considering for technology purchase designs. Finally, those who are seeking to invest in this market and key companies within its ecosystem will gain a better understanding of its dynamics to make more informed investment decisions.

SCOPE OF REPORT

This report provides five-year revenue forecasts of the size of the markets for network switches, routers and storage devices based on growth in content delivery networks.

In addition to the forecasts, the report provides details on the ecosystem of content hardware customers and their requirements, as well as the best routes to market to engage them. Finally, the report provides profiles of the leading industry players in the content hardware segment.

INFORMATION SOURCES

Sources for this report include:
• Interviews with service providers, suppliers and industry observers and participants.
• Secondary research into publically available reports and documents, particularly government studies.
• Estimates for market size and forecasts based on informed analysis of market growth and regional segmentation based on a combination of the author’s expertise and interview guidance.

ANALYST CREDENTIALS

Michael Sullivan-Trainor has more than 10 years of experience in market strategy, marketing and sales support. He founded MST Consulting in January 2003 to provide a competitive edge to clients requiring specialty market strategy, market intelligence, and marketing and sales support.

Research strengths include:
• Marketing research—both qualitative and quantitative, buyer requirements, and market opportunity forecasts.
• Sales support—research and field training around solutions, products, pricing, etc.
• Product support—build/buy decisions, features analysis, customer needs analysis mapping.
• Strategy support—executive market strategy analysis and presentation.
• Competitive intelligence—strategy, value propositions, operational metrics and structure, as well as solutions and products.

Industry segments expertise includes:
• Telecommunications—all aspects from suppliers to service providers and all technologies from wireless to fixed networks equipment and professional services and voice, data and multimedia services for consumers and businesses.
• Information technology—suppliers and the business customers they serve, with strengths in areas such as Internet, voice and data communications, business intelligence, data center and storage, as well as systems integration services.
• Energy and building automation management—Return on investment (ROI), equipment and policy solutions, comparative metrics and regulatory requirements as applied to the following industries:
- Commercial offices.
- Data centers.
- Healthcare.
- Hotels.
- Life sciences.
- Retail.
- Universities.

REPORT HIGHLIGHTS

This report provides:
• An overview of the global market for content delivery networks (CDNs), which make up the critical infrastructure required by industry players in the value chain for delivering consumer content such as videos and multimedia applications and business-to-business applications.
• Analyses of global market trends, with data from 2011 and 2012, and projections of compound annual growth rates (CAGRs) through 2017.
• Identification of the players in the market, such as content creators, aggregators and providers in advertising, media, and commerce, and communications network providers, including traditional telecommunications firms, hosting firms and Internet service providers.
• Types of hardware, including switches, routers, storage devices, servers, and content network appliances.

Table Of Contents

TABLE OF CONTENTS

CHAPTER 1 INTRODUCTION 2

STUDY GOALS AND OBJECTIVES 2
REASONS FOR DOING THE STUDY 3
INTENDED AUDIENCE 3
SCOPE OF REPORT 3
INFORMATION SOURCES 3
ANALYST CREDENTIALS 3
RELATED REPORTS 5
BCC ON-LINE SERVICES 5
DISCLAIMER 5

CHAPTER 2 SUMMARY 7

EXECUTIVE SUMMARY 7
SUMMARY TABLE GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY REGION, THROUGH 2017 ($ BILLIONS) 8
SUMMARY FIGURE GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY REGION, 2011-2017 ($ BILLIONS) 8

CHAPTER 3 INDUSTRY OVERVIEW 11

OVERVIEW 11
DEFINITIONS 11
CONTENT DELIVERY NETWORK PROVIDERS 11
PUBLIC NETWORKS 11
Internet and CDN Providers 11
Fixed Networks 12
Mobile Networks 12
PRIVATE NETWORKS 12
ENTERPRISE 12
SMALL BUSINESS AND HOME 13
GOVERNMENT 13
GOVERNMENT REGULATION AND POLICY 13
PRIVACY 14
DIGITAL RIGHTS MANAGEMENT 18

CHAPTER 4 CDN DEMAND DRIVERS 20

INTERNET ADOPTION 20
TABLE 1 WORLD INTERNET USER POPULATION GROWTH 20
CONTENT EXPLOSION 21
MOBILE NETWORK DEVELOPMENT 23
MOBILE DEVICE EXPLOSION 23
HOME DEVICE CONVERGENCE 24
CLOUD SERVICES 24

CHAPTER 5 USER SEGMENTATION-CDN BUYERS 28

TYPES OF CDN PROVIDERS 28
FIGURE 1 CONTENT DELIVERY VALUE CHAIN 29
CONTENT PROVIDER ADVANTAGES 30
TRANSPORT PROVIDER ADVANTAGES 30
TIER 1 PROVIDERS 31
FIGURE 2 TELECOM SERVICE PROVIDER CDNS 31
HOSTING 32
LARGE ENTERPRISES 33

CHAPTER 6 MARKET DYNAMICS 35

CDN APPROACHES 36
CDN ALTERNATIVES 37
CLOUD CDN PROVIDERS 37
HARDWARE REQUIREMENTS 38
TRANSPARENT CACHING 40
How It Works 41
TECHNICAL DIFFICULTIES 42

CHAPTER 7 GLOBAL MARKET ANALYSIS 45

REGIONS 45
TABLE 2 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
REGION, THROUGH 2017 ($ BILLIONS) 45
SEGMENTS 46
TABLE 3 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
TYPE, THROUGH 2017 ($ BILLIONS) 46
FIGURE 3 CISCO'S CDN 47
TABLE 4 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 47
TABLE 5 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 48
FIGURE 4 STORAGE EVOLUTION 49
TABLE 6 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 49
FIGURE 5 INTELLIGENT CDN 50
TABLE 7 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—SERVERS, THROUGH 2017 ($ BILLIONS) 50

CHAPTER 8 NORTH AMERICA MARKET ANALYSIS 52

TABLE 8 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY TYPE, THROUGH 2017 ($ BILLIONS) 52
TABLE 9 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 53
TABLE 10 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 54
TABLE 11 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—STORAGE, THROUGH 2017 ($ BILLIONS) 55
TABLE 12 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 55

CHAPTER 9 LATIN AMERICA MARKET ANALYSIS 59

TABLE 13 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY TYPE, THROUGH 2017 ($ BILLIONS) 59
TABLE 14 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 60
TABLE 15 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 60
TABLE 16 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 60
TABLE 17 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 61

CHAPTER 10 EMEA MARKET ANALYSIS 63

FIGURE 6 EUROPEAN DATA SPEED TARGETS 64
FIGURE 7 INTERNET INVESTMENTS 64
TABLE 18 EMEA FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
TYPE, THROUGH 2017 ($ BILLIONS) 66
TABLE 19 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 66
TABLE 20 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 67
TABLE 21 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 67
TABLE 22 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 67
MIDDLE EAST 68

CHAPTER 11 APAC MARKET ANALYSIS 72

TABLE 23 APAC FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
TYPE, THROUGH 2017 ($ BILLIONS) 72
TABLE 24 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—SWITCHES, THROUGH 2017 ($ BILLIONS) 73
TABLE 25 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 73
TABLE 26 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 73
TABLE 27 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 74

CHAPTER 12 COMPANY PROFILES CDN PROVIDERS 78

FREE CDNS 78
CLOUDFLARE 78
CORAL CONTENT DISTRIBUTION NETWORK 78
FREECAST 78
INCAPSULA 79
TRADITIONAL COMMERCIAL CDNS 79
ADVECTION 79
AKAMAI TECHNOLOGIES 79
FIGURE 8 AKAMAI'S CDN 80
AMAZON CLOUDFRONT 82
On-Demand Pricing 84
TABLE 28 REGIONAL DATA TRANSFER OUT (PER GB) ($) 84
TABLE 29 REQUEST PRICING (PER 10,000) ($) 85
CACHEFLY 85
CDN77 85
CHINACACHE 86
EDGE CAST NETWORKS 86
FAST WEB 87
GO GRID 88
HIGH WINDS 88
INTERNAP 89
LIMELIGHT NETWORKS 89
MIRROR IMAGE 89
NETDNA 90
PEER1 HOSTING 91
PRIME NETWORKS 91
RACKSPACE CLOUD FILES 92
TECHNICOLOR 93
WINDOWS AZURE CDN 94
TRANSPORT CDN PROVIDERS 94
ATandT INC. 94
FIGURE 9 AT andT CDN 95
BHARTI AIRTEL 95
BELL CANADA 96
BT GROUP 96
DEUTSCHE TELEKOM 97
INTEROUTE 97
KDDI 98
KPN 98
LEVEL 3 99
NAVISITE 100
NTT 100
ORANGE 101
PACNET 101
PCCW 102
RELIANCE GLOBALCOM 102
ROSTELECOM 102
SINGTEL 103
TATA COMMUNICATIONS 103
TELIASONERA 104
TELECOM ARGENTINA 105
TELECOM ITALIA 105
TELECOM NEW ZEALAND 105
TELEFONICA 106
TELSTRA 107
TELUS 108
VERIZON 108
HARDWARE/SOFTWARE SUPPLIERS 109
ALCATEL-LUCENT 109
ANEVIA 111
ARRIS 112
AVID TECHNOLOGY 112
BLUE COAT 112
BROADPEAK 113
BROCADE 113
CERTEON 114
CISCO 114
Cisco CDN Architecture 116
FIGURE 10 CISCO CDN 116
DELL 117
EDGEWARE 118
EMC 119
ERICSSON 121
EVS 122
JET-STREAM 122
HARMONIC 124
HP 125
IBM 126
JUNIPER 127
MOTOROLA 128
NETAPP 129
OCTOSHAPE 129
OVERSI 130
PEERAPP 131
QUANTEL 131
SEACHANGE 132
SIGNIANT 132
STREAMOCEAN 132
VERIVUE 132
VIDSCALE 133



LIST OF TABLES

SUMMARY TABLE GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY REGION, THROUGH 2017 ($ BILLIONS) 8
TABLE 1 WORLD INTERNET USER POPULATION GROWTH 20
TABLE 2 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
REGION, THROUGH 2017 ($ BILLIONS) 45
TABLE 3 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY
TYPE, THROUGH 2017 ($ BILLIONS) 46
TABLE 4 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 47
TABLE 5 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 48
TABLE 6 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 49
TABLE 7 GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—SERVERS, THROUGH 2017 ($ BILLIONS) 50
TABLE 8 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY TYPE, THROUGH 2017 ($ BILLIONS) 52
TABLE 9 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 53
TABLE 10 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 54
TABLE 11 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—STORAGE, THROUGH 2017 ($ BILLIONS) 55
TABLE 12 NORTH AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 55
TABLE 13 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY TYPE, THROUGH 2017 ($ BILLIONS) 59
TABLE 14 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 60
TABLE 15 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 60
TABLE 16 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 60
TABLE 17 LATIN AMERICA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 61
TABLE 18 EMEA FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY TYPE,
THROUGH 2017 ($ BILLIONS) 66
TABLE 19 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SWITCHES, THROUGH 2017 ($ BILLIONS) 66
TABLE 20 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 67
TABLE 21 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 67
TABLE 22 EMEA FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 67
TABLE 23 APAC FORECAST FOR CONTENT DELIVERY NETWORK HARDWARE BY TYPE,
THROUGH 2017 ($ BILLIONS) 72
TABLE 24 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE—SWITCHES, THROUGH 2017 ($ BILLIONS) 73
TABLE 25 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-ROUTERS, THROUGH 2017 ($ BILLIONS) 73
TABLE 26 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-STORAGE, THROUGH 2017 ($ BILLIONS) 73
TABLE 27 APAC FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE-SERVERS, THROUGH 2017 ($ BILLIONS) 74
TABLE 28 REGIONAL DATA TRANSFER OUT (PER GB) ($) 84
TABLE 29 REQUEST PRICING (PER 10,000) ($) 85



LIST OF FIGURES

SUMMARY FIGURE GLOBAL FORECAST FOR CONTENT DELIVERY NETWORK
HARDWARE BY REGION, 2011-2017 ($ BILLIONS) 8
FIGURE 1 CONTENT DELIVERY VALUE CHAIN 29
FIGURE 2 TELECOM SERVICE PROVIDER CDNS 31
FIGURE 3 CISCO'S CDN 47
FIGURE 4 STORAGE EVOLUTION 49
FIGURE 5 INTELLIGENT CDN 50
FIGURE 6 EUROPEAN DATA SPEED TARGETS 64
FIGURE 7 INTERNET INVESTMENTS 64
FIGURE 8 AKAMAI'S CDN 80
FIGURE 9 AT andT CDN 95
FIGURE 10 CISCO CDN 116

View This Report »

Find all the market research you need - instantly, in one place.

+1.2 Million Research Documents & Statistics +200,000 Trusted Public Sources 350 Industries With Global Coverage

24/7 Customer Support

Talk to Amrita

+1 718 303 2019

Purchase Reports From Reputable Market Research Publishers

Mega Trends in Communications Test and Measurement Industry

Mega Trends in Communications Test and Measurement Industry

  • $ 6 000
  • Industry report
  • October 2014
  • by Frost & Sullivan

Adopting Communication Mega Trends as Part of Your Corporate DNA This study discusses the global communications test equipment market Mega Trends and their impact on the industry in 2020. These Mega Trends ...

Telecom Operations Management Market by Software , by Deployment Type and by Geography - Global Forecast to 2019

Telecom Operations Management Market by Software , by Deployment Type and by Geography - Global Forecast to 2019

  • $ 4 650
  • Industry report
  • November 2014
  • by MarketsandMarkets

Due to rise in competition in the telecommunication sector, operators need to differentiate themselves from their competitors. This has led to an increase in complexities of their service and network management ...

Global Telecom Operation Management System Market 2015-2019

Global Telecom Operation Management System Market 2015-2019

  • $ 4 000
  • Industry report
  • November 2014
  • by Infiniti Research Limited

About Telecom Operation Management System A telecom operation management system is the integration of several solutions to enhance the efficiency of telecom operators as well as streamline telecom operations ...


ReportLinker is an award-winning market research solution that finds, filters and organizes the latest industry data so you get all the market research you need - quickly, in one place.