Posted by : Randy Cooper in (CDN)

Telcos Launch Blitzkreig in CDN War


Got your guns ready?

Global Crossing (read announcement), who just recently announced it’s intentions, has alreadylaunched it’s CDN service (albeit on the backs of multiple CDN providers).

Dan Rayburn reported British Telecom will enter the CDN space by the end of the year (read article) and (get this) will build it on their own. While Dan thinks their approach is unrealistic, I see it happening.

The telcos are smelling blood and are in a frenzy to get into the CDN game. Big money, and confident execs who just want to roll over smaller CDN providers is NOT a good combination for this industry.

It’s interesting to see what this will do to pricing and if the telcos will play that game or just leverage their existing rolodex and give those warm fuzzy feelings that customers have dealing with large, well-known entities.

I think Akamai may have the most to lose. It’s tough being the king of the hill – someone always wants to knock you off. And if Akamai is going to be in the fight, how will other CDNs make out? Limelight, Level3 have established themselves as a viable Akamai-alternative, but how you you position yourself against a company the size of BT?

Speaking of BT… sure they’ll start out in Europe and capture huge market share there, virtually laying asunder struggling CDNs trying to compete against entrenched competition in the United States as well asĀ  price-warring from Pac-Asia. There’s no winning for them.

The next year is a story to tell your grandchildren – how I fought in the GREAT CDN WAR.


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