Verizon announced Monday an agreement to buy content deliver network (CDN) provider EdgeCast to enhance its video delivery and web services capabilities.
The telco and IT services company's Digital Media Services division will integrate EdgeCast capabilities into its portfolio to meet rapid growth in online digital media content. Another goal is to broaden the portfolio of site acceleration services for digital enterprises.
The acquisition, approved by both companies' boards, is expected to close early next year. Verizon did not disclose the acquisition price.
Bob Toohey, president of Verizon Digital Media Services, said the integration of EdgeCast would allow Verizon to exploit and accelerate growth in media consumption and business performance online. “EdgeCast’s industry-leading technology and strategically placed assets, combined with Verizon Digital Media Services’ video solutions, improves our ability to deliver the rich, reliable and quality digital media services that our customers have come to expect,” he said.
EdgeCast has more than 6,000 accounts, including a number of leading web brands.
For Verizon, the deal is a way to strengthen its services to customers like studios, broadcasters, retailers and enterprises that want high-performance digital experiences across devices. This includes both content delivery and website acceleration.
This is a second acquisition in this area Verizon has made this year, following a deal to buy the assets of upLynk, a company whose technology streamlines the process of uploading and encoding video for live, linear and video-on-demand content.
The company said upLynk, EdgeCast and its own capabilities were complementary.