Akamai has acquired multicast video technology specialist Octoshape in an all-cash deal that gives Akamai more insight into optimizing streaming – and especially live streaming -- for over-the-top (OTT) content and Internet Protocol television (IPTV) solutions.
The Copenhagen-based firm has been around since 2003 and specializes in video delivery using multicast technology over unmanaged/best effort broadband networks.
For Akamai, the deal potentially is a hedge against future demands of 4K video and traffic that’s expected to increase up to 1,000X of current levels.
“As more video gets consumed over the Internet, and on devices that can display higher-quality resolution, it is important for us to develop new ways to acquire, transform and distribute the highest-quality media for broadcast-size audiences," said Tom Leighton, CEO of Akamai. “With the addition of Octoshape, Akamai intends to provide customers with the most comprehensive suite of video delivery and optimization technologies. We believe this acquisition will bolster our strategy to further the deployment of Akamai software into devices, carrier networks, enterprises, and homes, and to fulfill the promise of an Internet that is fast, reliable and secure on any device, anywhere."
Akamai will acquire all of the outstanding equity of Octoshape in a cash transaction. The acquisition is not material to Akamai's financials.
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