Akamai Acquires Octoshape in an All-Cash Transaction
Akamai announced today that it has acquired Octoshape in a cash transaction. It did not, however, announce the price paid. Based in Copenhagen, Denmark, Ocotoshape offers cloud services that help OTT and IPTV companies stream video to a global audience. Akamai sought out the company for its video optimization technologies.
"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. "We are working to continue to extend our platform to accommodate video throughput increases that come from the adoption of 4K, and to support a potential 100-1000X increase in network traffic in the future."
The acquisition will let Akamai offer comprehensive video delivery and optimization solutions, Leighton said. This move fits in with Akamai's strategy to further deploy its software into devices, carrier networks, enterprises, and even homes, he added.
"Combining Akamai's industry-leading content distribution network with Octoshape's video optimization technologies is intended to help businesses supercharge their online services to meet consumer demand," said Michael Koehn, CEO of Octoshape.
Founded in 2003, Octoshape currently has over 40 employees. Akamai will pay cash for the company's outstanding equity.
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