Verizon is looking to get deeper into the content delivery business with the acquisition of Los Angeles-based CDN provider EdgeCast Networks, TechCrunch has heard. Owning EdgeCast, and combining it with the carrier’s global network backbone COMMA, will give Verizon access to EdgeCast’s big-name CDN clients while also extending its reach.
According to a source, the deal for EdgeCast — which provides CDN services to the likes of Twitter, Pinterest, and Hulu — is expected to be announced in the coming days, and will be worth more than $350 million. Both EdgeCast and Verizon declined to comment on the matter.
While Verizon has seen success in its wireless practice, growth in the company’s enterprise business has lagged. With the enterprise division expected to remain flat over the next year, adding EdgeCast to the mix could add a profitable new revenue stream.
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