U.S.-based CDNs (Content Delivery Networks) are tenaciously adapting their technologies, services, account and business strategies to address new markets of opportunity, concurrently improving top line revenue by 17.7% in 2011 to $1.86 billion, an estimated 65% of the global total.
As bandwidth prices continue to decline, revenue growth (forecast at 20% through 2014) is predicated on CDNs selling more solutions per unique account, and reflected in improved sector MRR for 2011.
CDN direct and indirect accounts combined reached 20,045 (up 19.2%), averaging $9,210 in MRR for the year, a 17.6% increase over 2010, and the first uptick since the sector squeezed out a 5.6% gain in 2008.
CDNs analyzed include Akamai Technologies, Limelight Networks, BitGravity, CDNetworks, EdgeCast, Mirror Image, Level 3, Internap, Highwinds, Cachefly, Cotendo, new disruptive pricing entrant 3Crowd Technologies, among others.
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