CDNs report that streaming media delivery volume doubled, although revenue only climbed 60%.
Content delivery networks (CDN)
surveyed by AccuStream iMedia Research reported that in 2003, they delivered
double, and in some cases, triple the amount of streaming media content vs.
2002.
The study, titled "CDN Market Share
Report '03," also found that although delivery volumes were up, CDN revenues
didn’t keep pace and increased by just 60%.
"In 2003, CDNs diversified their
business models and kept their focus on customer support and grinding costs
down," said Paul A. Palumbo, director of research at AccuStream. "CDNs are not
competing solely on price any more."
In fact, the report found that CDNs
will increasingly garner more revenues from what it terms "value-added
services," which include monitoring, reporting, stream quality guarantees,
hosting, co-location, downloads, security, custom integration fees and storage.
AccuStream estimated those services added $200 million to $250 million to CDN
businesses associated with streaming media in 2003.
For more information, visit Accustream
here.