Report: Akamai May Buy Nine Systems
November 13th, 2006 By: Rich Miller
Content distribution network Akamai (AKAM) is considering an acquisition of competitor Nine Systems, according to a report from Om Malik at GigaOm. “The transaction price is being pegged at around $150 million, or roughly nine times revenue,” Om writes. “Our sources say that the deal could be announced sometime later this month, perhaps as soon as Tuesday.”
The CDN market has seen lots of consolidation lately. Akamai bought Speedera last year, and recent more recently Internap scarfed up VitalStream. Meanwhile, Savvis is reported to be shopping its CDN network for possible sale, with Akamai among the rumored (and logcial) suitors.