In its second-largest acquisition, Amazon buys the company for $970 million.
The move follows Verizon’s acquisition of digital video delivery company upLynk earlier this year.
Verizon Communications is beefing up its content delivery capabilities with the acquisition of EdgeCast Networks Inc., it announced today. The move follows Verizon’s purchase earlier this year of the assets of video uploading and delivery company upLynk.
“The combination of EdgeCast and Verizon Digital Media Services will allow us to fully exploit and accelerate growth in Internet media consumption and online business performance,” says Bob Toohey, president of Verizon Digital Media Services.
In addition to providing web hosting, performance monitoring and content delivery services to retailers, Verizon also offers a streaming video service to consumers in a joint venture with Redbox Automated Retail LLC.
The acquisition will help Verizon to compete with Akamai Technologies Inc., which ranks No. 1 among content delivery networks in the Internet Retailer Top Tech 2014. Akamai has 167 clients in the Top 500 Guide and 23 in the Second 500 Guide. EdgeCast, No. 6 among content delivery networks in the Top Tech list, has five retailer clients in the Top 500 Guide and two in the Second 500.
Verizon provides web-hosting technology to three retailers in the Top 500 and web performance-monitoring services to one retailer; no retailers in the 2013 Second 500 list Verizon as a provider.
Last week, Akamai purchased security firm Prolexic Technologies Inc., a specialist in combatting denial-of-service attacks against web sites. Verizon also offers an Internet security suite that includes defense against denial-of-service exploits in which attackers direct large volumes of traffic to a site so that it can’t be accessed by legitimate consumers.