CDNetworks Announces Strategic Agreements with MegaFon and KDDI to Tap Growing Internet Markets

The well known multinational content delivery network, CDNetworks announced new strategic agreements with Russia-based MegaFon (News - Alert) and Japan-based KDDI.

CDNetworks, which leverages local expertise and infrastructure in China and across six continents, aspires to broaden its market reach.  Under the terms of the agreements, MegaFon and KDDI (News - Alert) will deploy and sell the CDNetworks Web Performance Suite services to customers within their respective regions, the sources informed in a press release.

According to industry experts, Russia happens to be one of the fastest-growing Internet markets in the world, and Japan, one of the most Internet-savvy markets in the world. The agreement will benefit the CDNetworks’ customers seeking to accelerate their delivery of content and applications into these markets.

Global IP traffic has increased eightfold over the past 5 years, and will increase fourfold over the next 5 years, according to Cisco’s (News - Alert) 2011 Visual Networking Index. This is driving the telecommunications provider to adopt viable CDN strategy for protecting their networks. Increasing number of telecommunication providers are opting for a partnership with a global CDN so that they are able to offer a complementary service to their customers and extend their global reach, while also offloading traffic on their network.

According to Jim Davis, Senior Analyst at Tier1 Research, CDN service providers need to pursue reseller relationships and/or licensing deals with telcos so that they can leverage the emerging sales channel. This consideration led the company to expand its Telco Partner Program.

“Through our expanded Telco Partner Program, we’re excited to accelerate our global reach, services and sales capabilities into two of the world’s largest global economies. With our advanced Web acceleration technologies and the local domain expertise and market-leading networks of our partners, our customers gain exceptional Web performance and superior support while extending their businesses into challenging markets. At the same time, our partners are able to provide their customers with a turnkey content delivery solution,” Samuel Ko, founder and CEO of CDNetworks, explained in a statement.

Earlier, CDNetworks signed a new, expanded agreement with TeliaSonera (News - Alert) International Carrier for IP transit and co-location services throughout Europe and the United States.