Problems: In 2001, Akamai Technologies was faced with decreasing revenue and an economic recession. In order to grow and remain a strategic asset to its partners, Akamai has been challenged with the expansion of the internet as well as a choice to move away from a content delivery network (CDN). Problems Akamai is faced with over internet performance include fast technical growth such as file sharing and streaming media, reliability of services, slow operation time for users, and the loss of data during network to network transfers. Akamai has to evaluate the complexity of its new application delivery network (ADN) and must find a way to adapt to the evolving World Wide Web in order to remain competitive and profitable.
Recommendations: Based on the problems stated above, the following are recommendations for Akamai to consider adapting its new ADN strategy, EdgeSuite, over its CDN.
• EdgeSuite incorporates the delivery part of CDN business in addition to adding assembly and presentation. EdgeSuite will add more versatile features on top of CDN which is strongly recommended.
• Since EdgeSuite keeps the original function of CDN (delivery), existing customers will not be impacted with the move. The new features of EdgeSuite (assembly and presentation) should allow for new customer growth.
• EdgeSuite is based on open standard markup language, ESI. This will allow partners to feel comfortable to incorporate the new infrastructure.
• ESI/EdgeSuite requires much less bandwidth and is less expensive than CDN. This is one of the major reasons Akamai should proceed with EdgeSuite.
• Akamai should plan to setup an ecosystem so that all its partners and customers can take advantage of being part of the system.
Discussion and Analysis: In accordance with the recommendations listed above, Akamai has several ongoing strategic business decisions that will impact the future growth and...
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