Online Video Grows but where is the Profit?
I spent a short 8 months at Limelight last year as a Business Development Manager (aka, salesman), and learned a lot about something I knew very little about: bandwidth. Sure I knew some about bandwidth and always heard Network Admins complain about how they needed more, but I had no idea how it worked. What’s more I had no idea that there are so many types of bandwidth and that there are many ways to utilize it.
Limelight is a Content Delivery Network(CDN) meaning they have setup a network of servers that store their clients content so that it gets to the user faster and more reliably. Its a really neat product, unfortunately its also a very competitive market and margins are thin:
Limelight Networks Inc., one of Arizona's newest public companies, reported an increase in revenue for the fourth quarter and full year, but remained in the loss column.
: Phoenix Business News - Local Phoenix News | The Business Journal of Phoenix
Limelight Networks sees revenue gain with new customers, but losses continue
February 20th, 2008 at 7:24 am
[…] never ever use 90% of the stuff that Office has to offer. So porting that over to the web is just a waste of bandwidth, which we just learned is something to be conscious […]