Global CDN market worth $7.4bn by 2017
October 15, 2012
According to a market research report published by MarketsandMarkets, the total CDN market is expected to reach $7.4 billion by 2017 with a CAGR of 24.6 per cent.
Over the last decade, the Internet had exhibit utmost growth and trend-change over use of online content. The ever-evolving Internet has resulted in growing internet traffic, content richness and the network complexities to manage efficient content delivery to user. To counter these Internet limitations and content delivery drawbacks, CDNs have evolved.
Content delivery networks have emerged as one of the most lucrative markets for the existing players as well as for new market players. Rapid explosion of web-based content mainly online music, online video, online transaction-based services have spurred the demand for CDNs. Online content is growing at a rapid rate from content provider businesses as well as from individuals who have started posting or uploading their content online to share with their peers. As the Internet traffic load increases, it becomes difficult to manage this growth in traffic and provide quality of service to the end-user. Due to the increasing demand for quality of services, new players have entered into this market with their network optimization solutions. With this increase, competition has intensified. Content providers have to clearly differentiate their products among other CDN providers for achieving better adoption among users.
The global Content Delivery Network Market is expected to grow from $2.1 billion in 2011 to $7.4 billion by 2017, at estimated CAGR of 24.6 per cent from 2012 to 2017.
North America commanded the largest share; i.e., 64.3 per cent of the overall managed Content Delivery Network Market in 2011 at $1.3 billion; and is expected to reach $4.6 billion by 2017, at a CAGR of 24.1 per cent from 2012 to 2017.