Verizon to buy EdgeCast to meet demand for online media
With the approval of both company boards, the deal is expected to close early next year.
Verizon plans to acquire content delivery network EdgeCast, the company announced on Monday.
EdgeCast offers a global network of servers designed to help Web sites better handle surges in traffic and stream content to thousands of users at the same time. As such, Verizon expects the deal to help it meet the increasing demand for online media.
"The combination of EdgeCast and Verizon Digital Media Services will allow us to fully exploit and accelerate growth in Internet media consumption and online business performance," Bob Toohey, president of Verizon Digital Media Services, said in a statement. "EdgeCast's industry-leading technology and strategically placed assets, combined with Verizon Digital Media Services' video solutions, improve our ability to deliver the rich, reliable, and quality digital media services that our customers have come to expect."
The boards of both companies have approved the purchase. Verizon said it hopes to complete the deal early next year.