The costs of establishing a content delivery network are quite high (huge infrastructure costs and a high capital expenditure but less ROI in the initial stages). This can be quite challenging for new entrants heading into the highly competitive CDN market in India with high quality services. This market is likely to witness some key trends in the coming few years such as – reduced prices of CDN services, multi-CDN delivery and streaming of content, CDN services support for IPv6, and the use of next-generation hardware to run content delivery networks.
The India content delivery network market is classified on the basis of service providers, applications, and end-use verticals. On the basis of service providers, the market is segmented as telecom CDN providers, conventional CDN providers, and others. The conventional CDN providers segment was valued at US$ 169.0 Mn in 2015 and is expected to reach US$ 1.69 Bn by 2026, registering a CAGR of 23.4% over the forecast period. The telecom CDN providers segment was valued at US$ 57.5 Mn in 2015 and is expected to reach US$ 549.1 Mn by 2026, registering a CAGR of 22.9% over the forecast period.
On the basis of applications, the India content delivery network market is segmented as streaming, web acceleration, gaming, and CDN storage. In terms of value, the streaming segment is expected to expand at a CAGR of 24.5% while the web acceleration segment is expected to expand at a CAGR of 23.4% over the forecast period. On the basis of end-use verticals, the India content delivery network market is segmented as media & entertainment, e-commerce, TELCOs, healthcare, government & education, and others. In 2016, the media & entertainment segment is estimated to account for the highest market share of 47.2% and this is likely to increase to 58.1% by the end of 2026.
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