As the strategic value of online content assets continues to grow, chaos and confusion are rampant within the content delivery network (CDN) market. Challenging dynamics coupled with increased demand for content delivery solutions means that a diverse array of companies are keeping a close watch on the space and the relevant players within it. Yankee Group has developed an Anywhere Scorecard for the CDN market that assesses the relative strengths and weaknesses of the key global providers. The scorecard takes an objective look at how a provider’s Vision and Ability to Transform in the market influence the strength of its offering, and how these dynamics inform customer buying decisions. In this webinar, Yankee Group analyst David Vorhaus explored the transformative trends affecting the CDN market and ranked 10 of its most significant players.

1. Anywhere Scorecard Buzz:
Content Delivery Networks
David Vorhaus, Senior Analyst
Zeus Kerravala, Senior Vice President
August 13, 2009
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2. Agenda
• Introducing Yankee Group
Anywhere Scorecards
• The Lay of the CDN
Landscape
• Anywhere Scorecard for
CDNs
• Summary and Conclusions
• Q&A
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3. What Are Yankee Group Anywhere Scorecards?
• Rank products and services in markets impacted by
ubiquitous connectivity
• Objective, rigorous, data-driven methodology
• Evaluation criteria based on two key categories:
Vision (variable list) Ability to Transform (fixed list)
•Capacity •Ecosystem
•Ubiquity •Portfolio/R&D
•Openness •Management
•Network Centricity •Customer Base
•Innovation •Brand Reputation
•Context Awareness •Pricing
•Usability •Financial Viability
•Convergence
•Other Attributes
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4. Scorecard Ranking Definitions
Scorecard graphic provides a
visual ranking of vendor
results.
Exemplary Vision and Ability to Transform. Often
the strongest reputation among customer base
and established track record for product or
service excellence. Recommended.
Good Vision and Ability to Transform. Often have
overwhelming strength in one category but slight
deficiencies in the other. Primed to move up to Front-
runner status. Recommended.
Limited, but still noteworthy Vision and Ability to Transform. Not
recommended across the board, however may be recommended in
very specific circumstances.
Vision and Ability to Transform are lacking. Unlikely to be recommended.
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5. Additional Scorecard Basics
• Upcoming scorecards, to be updated annually:
• Virtual desktop and application virtualization
• Carrier Ethernet transport
• Service delivery platforms
• Mobile operating systems
• More information
• See our Anywhere Scorecard Guide for more detail on methodology
www.yankeegroup.com/research/anywhere_scorecard.pdf
• Recommend a scorecard topic at scorecard@yankeegroup.com
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6. Agenda
• Introducing Yankee Group
Anywhere Scorecards
• The Lay of the CDN
Landscape
• Anywhere Scorecard for
CDNs
• Summary and Conclusions
• Q&A
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7. Level Setting: Content Delivery Networks
• The concept behind a content
delivery network
• Dedicated network of servers
distributed strategically
• Localize delivery to ensure speed,
quality and reliability of distribution
• Who buys CDN services from third parties
• Enterprises for internal distribution
• Consumer content providers for
widespread distribution
• The role of CDNs in the network is expanding
• More high-volume, high-value content distributed to broader range of end-users
• Content owners looking to assure quality/drive revenue can’t rely on public
backbone
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8. Trends Molding the CDN Market
• Large number of undifferentiated players
• 30+ CDN players with relatively similar core offerings
• Competitive landscape overinflated, significant consolidation in next 12 to 18
months
• Downward pricing pressure for core services
• HTTP object delivery is low-margin game
• Pricing will asymptote to commodity levels within 24 months
• CDNs broadening out to incorporate ancillary services
• Key services: content management, reporting/analytics, security, metadata
extraction, ad insertion, encoding/transcoding
• Larger CDNs looking at whole site acceleration and application acceleration
• Encroachment by external players
• AT&T, Level 3, Global Crossing, Deutsche Telekom, KPN, Tata, Verizon,
Alcatel-Lucent, Cisco, etc.
• Driven by cost savings and revenue generation
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9. Content Delivery at the Nexus of Two Bundles
• CDN is increasingly part of bidirectional bundling opportunities.
• First is “premium CDN” bundle, with content delivery at center of a digital media
distribution strategy.
• Second is wholesale bundle, with CDN as a piece of a broader communications services
package.
• The ideal solution is a CDN that can build the premium bundle, partnering with a
carrier with strong wholesale assets.
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10. Agenda
• Introducing Yankee Group
Anywhere Scorecards
• The Lay of the CDN
Landscape
• Anywhere Scorecard for
CDNs
• Summary and Conclusions
• Q&A
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11. Anywhere Scorecard Methodology
• The basis of the CDN scorecard is primary research with vendors
(scorecard participants) and existing/potential customers.
• Ten vendors are selected, based on those that develop their own CDN
services and are most relevant in the market today.
• Scoring is done in two broad categories: Vision and Ability to
Transform.
• Vision: Strategy in CDN space, available services and functionality
• Ability to Transform: Core business metrics that will help dictate attractiveness
• Scorecard is done from the customer’s point of view.
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12. Top-Line Results: Akamai and Limelight Are Front-Runners
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13. Detailed Scoring of the CDN Market
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14. Agenda
• Introducing Yankee Group
Anywhere Scorecards
• The Lay of the CDN
Landscape
• Anywhere Scorecard for
CDNs
• Summary and Conclusions
• Q&A
© Copyright 2009. Yankee Group Research, Inc. All rights reserved. Anywhere Scorecard Buzz: Content Delivery Networks August 2009 Page 14

15. Summary and Conclusions
• The next 12 months will see continuing upheaval in CDN space.
• The growing importance of content delivery will be counterbalanced by
declining pricing and market consolidation.
• Cloud-based enterprise services, mobile content delivery and advanced
streaming capabilities are important areas to watch.
• Carrier encroachment will be the most transformative trend.
• Customers and partners should use the Anywhere Scorecard as a
guidebook to match vendor strengths to their particular needs.
© Copyright 2009. Yankee Group Research, Inc. All rights reserved. Anywhere Scorecard Buzz: Content Delivery Networks August 2009 Page 15

16. Additional Resources
• Yankee Group Research Reports:
• Yankee Group Anywhere Scorecard: Content Delivery Networks, 2009
by David Vorhaus
• The Fate of the CDNs by David Vorhaus
• Carrier Encroachment Into the CDN Marketplace by David Vorhaus
Download the reports at http://www.yankeegroup.com
• Yankee Group blog:
• Guiding Content Delivery Decisions by David Vorhaus
• The Carriers Are Coming! by David Vorhaus
Read more at http://blogs.yankeegroup.com/
• Yankee Group Scorecards
Learn more at http://www.yankeegroup.com/linkResearch.do
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17. Thank you!
David Vorhaus, Senior Analyst, dvorhaus@yankeegroup.com
Zeus Kerravala, Senior Vice President, zkerravala@yankeegroup.com
Next Yankee Group webinar:
Getting Consumers’ Attention with Anywhere Media
August 25, 2009
Register at www.yankeegroup.com
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