Akamai Digital Media event

Akamai_share_price

Yesterday I went to the a Digital Media event hosted by Akamai. Here are a number of key points from the session:

  1. Only 1% of video is currently delivered over IP (i.e. the Internet). This will keep growing as more TVs are Internet enabled. This probably accounts for why Akamai and the other CDNs share prices are doing so well, outperforming the indices and competitors (see chart above).
    1. Video IP usage is up more than a third from 2009
    2. and we’re watching video almost 50% longer.
  2. The UK is well advanced of the US in terms of peer to peer – most of the UK’s broadcasters use it, whereas in the US it is only used for illegal file sharing.
  3. 60% of Europe’s iPhone market is in the UK. This explains why our sites have low iPhone usage globally. (It’s worth noting that the time spent on apps makes up for the low iPhone usage).
  4.  Akamai are bringing out some interesting new services on their Edge network. Other organisations who own huge numbers of web servers such as Amazon and Microsoft are virtualising their environment and renting it out as well known Operating Systems (e.g. AWS and Azure both can both run as Windows servers, sold by the hour). Akamai are working differently by expanding Value Added Services to their customers – keeping the technology proprietary.

All in all it was a good day, hearing about a number of new technologies and an excellent case study from Adam Lynch at The R&A.

 

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