CDN Operational, Account and Content Vertical Analytics 2012 - 2015

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Jun 13, 2013, 10:06 ET

NEW YORK, June 13, 2013 /PRNewswire/ -- Reportlinker.com announces that a new market research report is available in its catalogue:

CDN Operational, Account and Content Vertical Analytics 2012 - 2015
http://www.reportlinker.com/p01277451/CDN-Operational-Account-and-Content-Vertical-Analytics-2012---2015.html#utm_source=prnewswire&utm_medium=pr&utm_campaign=Accounting_and_Corporate_Finance

Seaside, CA. CDNs (Content Delivery Networks) raised contract revenue 18.3% in 2012, to $2.28 billion, as value-added services (site/app acceleration, cloud solutions, analytics, specialized HTTP video platforms, content transformation, workflow, management, security and rights protection) in addition to core bandwidth provisioning supporting very large video accounts fueled market growth.

Sector-wide monthly recurring revenue (MRR) rose 8% to $5,265, calculated as an average of each CDN's revenue-per-account performance comparable, as detailed in this market and business analytics report produced by AccuStream Research.

The report, CDN Operational, Account and Content Vertical Analytics 2012 - 2015, establishes that media and entertainment represents the largest content segment under CDN contract, forming 48.6% of the penetrated market. Professional video, digital video advertising and Internet music radio are highly penetrated verticals.

Professional video bandwidth fees frame a 35.8% share of the available market (counting self-hosting sites), followed by UGC video at 19.6%, mobile video (views and advertising) at 14.8% and music radio/song plays at 11.7%.

Delivery costs are tallied against video views, listening hours, downloads (music/movies) and video advertising (pre/mid/post roll and in-page) revealing total bytes delivered by content vertical.

Operations and infrastructure analysis includes deployed servers, bandwidth percentage of COGS and retail contracts, R & D initiatives plus Cap Ex spending.

Capital efficiency compares new CDN accounts added during the year modeled against revenue and server infrastructure. CDN contracts rose by 61.2% to 54,835, server infrastructure 17.1%, with strong account growth registered in lower MRR bands.

The CDN market is valued across content verticals against both volume (gigabytes transferred) and rate (Mbps) pricing, including transit. Current and historical bandwidth pricing trends are provided.

CDNs include Akamai Technologies, Limelight Networks, BitGravity, CDNetworks, ChinaCache, EdgeCast, Mirror Image, Level 3, Internap, Highwinds, Cachefly, Cloudflare, Mainstream Networks and NetDNA, among others.

This report's extensive Q & A's conducted with top tier management, technology and sales talent address network topologies and capacity, solutions innovation, software and infrastructure advantages underlying account acquisition strategies.

TABLE OF CONTENTS:

EXECUTIVE SUMMARY 1
CDN Delivery Market Improves To a $2.28 Billion Business in 2012 1
Domestic CDNs are forecast to reach $2.71 billion in 2013 revenue 1
CDN Market Revenue: 2003 - 2015 2
International CDNs are estimated at $1.2 billion in 2012 contract billings 3
Account additions at the lower end of the MRR spectrum are being aggressively targeted by smaller CDNs 3
CDN Revenue and Account Growth Rates: 2006 - 2012 3
Professional video delivery represents the largest share of bandwidth consumption 5
Bandwidth Provisioning Share By Content Category: 2006 - 2012 6

CDN Terminology Definitions 7

SECTION ONE 10
CDN Market Dynamics Introduction and 2012-2015 Overview 10
CDN sector business, technology and account acquisition trends 10
Account Acquisition, new entrants and competitive forces 11
Retail and transit bandwidth pricing indicators 11
Video formats and adoption trends 12
International markets, competition and account winds 12
Akamai COGS Analysis: 2007 - 2012 13
Limelight Networks: COGS Analysis 2008 - 2012 13
CDN accounts under contract swell by 61.2% in 2012 14
CDN Annual Accounts: 2005 - 2012 14
CDN Total Year End Accounts: 2012 15
Akamai continues to lead the market in revenue 15
CDN Revenue and Market Share: 2010 - 2012 16
CDN Revenue Analysis: 2010 - 2012 17
Cap Ex investment rose by 25.1% in 2012 18
CDN Cap Ex Investment: 2007 - 2012 18
CDNs continue to deliver Cap Ex investment efficiency balanced against account additions 20
Cap Ex Analysis: Server Deployments and Account Growth 20
The CDN sector grew by 18.3% in 2012; Double-digit growth forecast through 2015 22
CDN Market Revenue Analysis: 2003 - 2015 22
Average MRR increased 8% in 2012 to $5,265 22
CDN Monthly Recurring Revenue Analysis: 2005 - 2012 23
CDN Monthly Recurring Revenue Analysis: 2005 - 2012 25
Media and Entertainment contract value increased by 20% in 2012 29
Total Media and Entertainment CDN Contract Value: 2006 - 2012 29
Entertainment Media Revenue Share of CDN Market: 2006 - 2012 29
Domestic CDNs are forecast to reach $2.71 billion in 2013 revenue 29
International CDNs are estimated at $1.2 billion in 2012 contract billings 31
Global CDN Market Value (Domestic vs. International CDNs) 33
Account additions at the lower end of the MRR spectrum are being aggressively targeted by smaller CDNs 35
CDN Revenue and Account Growth Rates: 2006 - 2012 35
The global CDN market is estimated at $3.7+ billion in 2012 37
CDN Global Market Value Comparison: 2006 - 2012 38
The Commercial Market Value of Audio/Video delivery surpassed $1.33 billion in 2012 40
Commercial Bandwidth Market Value: Audio/Video 2006 - 2012 41
Professional video delivery represents the largest share of bandwidth consumption 43
Streaming/HTTP Audio/Video Content Category Share: Commercial Market Value 2006 - 2012 43
CDN Bandwidth Services Category Share: 2011 45
CDN Bandwidth Services Category Share: 2012 47
Retail bandwidth pricing stabilized in 2012 49
Retail Contract Pricing: 2006 - 2012 49
Retail and transit pricing declines do not necessarily move in tandem 54
Annual Pricing Comparison: Retail Versus Transit 2006 - 2012 54

SECTION TWO 57
Entertainment and Media: Bandwidth Provisioning and Commercial Market Value Analytics 2012 57
Retail and transit commercial market value in media and entertainment content verticals estimated at $1.7 billion in 2012 57
CDN Bandwidth Services Content Vertical and Category Share: 2012 58
Commercial Market Value: Media and Entertainment 2012 60
Media and entertainment contract value grew by 20% in 2012 62
Total Media and Entertainment CDN Contract Value: 2006 - 2012 62
Professional video and UGC video account for 55.4% of commercial market value in 2012; mobile video doubled 63
Streaming/HTTP Content Category Share: Commercial Market Value 2006 - 2012 64
2012 Commercial Market Value: Entertainment and Media Bandwidth Analysis 66
Digital music delivery (streaming radio/track play) market value at $85.9 million in 2012 66
Online Music and Track Play Listening Hours: Bandwidth Services Analysis and Market Size 67
Professional video generated $262.2 million in market value in 2012 68
Online Video: Professional Entertainment and Media Bandwidth Services Analysis and Market Size 69
UGC Video Produced a Market Worth $143.7 Million in 2012 70
UGC Video Pricing and Market Analysis: 95th Percentile Analysis 71
In-Stream Video Advertising Produced a Market Worth $44.2 Million in 2012 72
In-Stream Advertising: Pre/Mid/Post Roll Video Bandwidth Services Analysis and Market Size 73
In-Page Video Impressions Framed a Market Worth $53.7 Million in 2012 74
In-Page Video Advertising: Bandwidth Services Analysis and Market Size 75
Download Music and Movies Generated Commercial Market Value of $34.1 Million in 2012 76
Download Bandwidth Services Analysis and Market Size 77
Podcasting Bandwidth Services Analysis and Market Size 78
Mobile Video Delivery Generated Equivalent Market Value of $108.5 Million in 2012 79
Mobile Video: Bandwidth Services Analysis and Market Size 79
2012 Transit Commercial Market Value: Media and Entertainment Bandwidth Analysis 80
Internet Radio: Backhaul Bandwidth Services Market Value (95th Percentile Analysis) 80
Professional Video: Transit Bandwidth Services Market Value (95th Percentile Analysis) 81
User Generated Video Transit Pricing and Market Analysis (95th Percentile Analysis) 82
Video Advertising: Pre/Mid/Post Roll Transit Bandwidth Services Market Size (95th Percentile Analysis) 83
In-Page Video Advertising: Transit Bandwidth Services Market Size (95th Percentile Analysis) 84
Download Transit Bandwidth Services Market Size (95th Percentile Analysis) 85
Podcasting Transit Bandwidth Services Market Size (95th Percentile Analysis) 86
Mobile Video Views and Advertising: Transit Bandwidth Services Market Size (95th Percentile Analysis) 87

SECTION THREE 88
CDN Revenue, Accounts and Operational Analytics 88
The CDN Sector to Continue Double-Digit Revenue Growth Through 2015 88
CDN Market Revenue Analysis: 2003 - 2015 90
CDN Revenue and Market Share: 2010 - 2012 93
CDN Accounts under Contract Jump 61.2% in 2012 95
CDN Annual Accounts: 2005 - 2012 95
CDN Total Year End Accounts: 2012 97
CDN Revenue and Account Growth Rates: 2006 - 2012 98
Impact of Growth in Lower MRR Accounts Seen Across Sector MRR Averages 100
CDN Monthly Recurring Revenue Analysis: 2005 - 2012 100
CDN Monthly Recurring Revenue Analysis: 2005 - 2012 102
Server Infrastructure Increases 17.1% in 2012 104
CDN Server Infrastructure Deployment: 2005 - 2012 104
CDN Cap Ex Investment: 2007 - 2012 106
Higher Performance Servers Deployed, Cloud Infrastructure and Self-Service Options Available Through Amazon Web Services (Aws) Reduce Cap Ex Requirements for Smaller CDNs 108
Cap Ex Analysis: Server Deployments and Account Growth 108
CDN Segment: Summary Revenue, Account, Performance Metrics and Infrastructure Profile and Analysis 2003 - 2015 (Part One) 110
CDN Segment: Summary Revenue, Account, Performance Metrics and Infrastructure Profile and Analysis 2003 - 2015 (Cont.) 113

SECTION FOUR 115
CDN penetration of professional video at 84.5% of total 2012 views 115
Professional Video Views and CDN Penetration: 2012 115
Professionally Produced and Distributed Digital Video: CDN/Bandwidth Provider Analysis 2012 116

SECTION FIVE 150
UGC/Social Networking/Semi-Professional Content Concentrated and Predominately Self-Hosted 150
UGC/Social Networking/Semi-Professional Video Views and CDN Penetration: 2012 151
Semi-Professional, UGC and Social Digital Video: CDN/Bandwidth Provider Analysis 2012 152

SECTION SIX 155
Internet Music Radio and Song Play Delivery Market Place at 70% CDN Penetration in 2012 155
Music Radio/Song Play Listening Hours Delivered Under CDN Contract: 2012 156
Internet Music Radio and Song Play Services: CDN/Bandwidth Provider Analysis 2012 157

SECTION SEVEN 165
Q & A's 165
AKAMAI 165
BITGRAVITY& TATA COMMUNICATIONS CDN 172
CDNETWORKS 175
CHINACACHE 180
EDGECAST 192
HIGHWINDS 197
INTERNAP 204
LEVEL 3 209
LIMELIGHT NETWORKS 214
MAINSTREAM NETWORKS 219
MIRROR IMAGE 223
NETDNA 227
YOTTAA 230