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February 7, 2010
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| 21:57 EDT |  | INAP |
| theflyonthewall.com: | Cloud computing could be a nightmare for CDNs, Barron's reports | | Barron's Plugged In columnist Mark Veverka says, "Before you jump into content delivery networks (CDNs) shares, including those of Akamai Technologies (AKAM), Limelight Networks (LLNW) or InterNAP Network Services (INAP), consider that the business models could be disrupted by new cloud-computing concepts. Currently, CDN providers enjoy a "stickiness" due to the way services are contracted, and that has managed to keep big customers from jumping to competitors or using multiple providers. But that could soon change, notes Veverka. Last week a Silicon Valley start-up, called 3Crowd, launched a product designed to give CDN customers more flexibility and control over how they buy and use services. "This is a cloud service that allows guys to mix and match their CDNs," says 3Crowd founder and CEO Barrett Lyon. He says, "the business model for CDNs really doesn't match the needs for customers and that's a complete nightmare for the industry." Reference Link :theflyonthewall.com |
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