CDN Roundup: Limelight, Internap, BitGravity

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It’s been a busy week in the content delivery network (CDN) business. Here’s a look at the latest headlines:

  • Limelight Networks (LLNW) reported its second quarter earnings yesterday, with sales of $30.3 million, slightly above analyst expectations. See coverage from Eric Savitz at Barron’s and Silicon Alley Insider, which live-blogged the analyst call. Or see the full transcript of the call at Seeking Alpha.
  • Internap Network Services (INAP) “may be approaching a moment of truth for its CDN business, which is struggling on a number of levels,” according to Contentinople, citing analysis from Colby Synesael at Merriman Curhan Ford.

  • The Motley Fool has a profile of BitGravity, looking at its backers, technology and market position. The hook was BitGravity’s announcement that it had raised $2.5 million from Allen & Company and individuals including Sling Media co-founder Blake Krikorian.
  • With the BitGravity announcement, content delivery networks have now raised approximately $400 million over the last 18 months, according to Dan Rayburn. “The CDN market is going to be in for a world of hurt in 18-24 months, and most of these CDNs are not going to get acquired or bought out at all, let alone at the kind of revenue multiple investors are dreaming of,” Dan writes.

About the Author

Rich Miller is the founder and editor-in-chief of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.

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