Finance Geek

With Apple having already announced their plans to build its new $1 billion data center in Maiden, North Carolina, folks I have spoken to inside Apple told me that once the new data center is completed, Apple plans to have a more active role in doing their own content delivery.

While this won’t be happening anytime soon, since the data center won’t even be completed this year, it does indicate that over time, third party content delivery networks (CDNs) like Akamai and Limelight could very well lose a large portion of Apple’s business. While it’s way to early to speculate what kind of content Apple will deliver and in what volume, this strategy is nearly identical to what we’ve seen Microsoft do over the years.

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See Also:

• CDN Market Still Due For A Shakeout (AKAM, LLNW)
• SEC STALKER: Akamai Execs Buy Over $3 Million In Stock (AKAM)
• Akamai Needs To Cut Prices To Drive Growth (AKAM)

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This entry was posted on Tuesday, August 18th, 2009 at 7:39 am and is filed under Silicon Alley Insider. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.