Limelight acquires Edgecast from Yahoo | Media Investment | Business | News | Rapid TV News
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Almost a year exactly after beginning a recovery strategy, Limelight Networks has bounced back to the extent that it has entered into a definitive agreement to acquire Edgecast.
LImelight 8March2020
Formerly the media network division of Verizon Media, Edgecast is a business unit of Yahoo, owned by funds managed by affiliates of investment firm Apollo and leading global operator Verizon Communications.

Limelight sees the acquisition, which values Edgecast at approximately $300 million, as giving it the ability to expand scale and strengthen its platform to better deliver blue-chip customer performance, productivity and protection through edge computing solutions including content delivery and edge video. More specifically, Limelight expects the transaction to accelerate its ability to serve its total addressable market (TAM) of approximately $40 billion, through expanded capabilities, portfolio targets and new opportunities in enterprise but also across the over-the-top (OTT) video industry.

The combined company will have a global network capacity of more than 200 Tbps and more than 300 PoPs coupled with natively integrated cloud security, edge video platform and web applications. Limelight and Edgecast’s current combined customer base encompasses Fortune 100 clients, as well as some of the world’s leading technology companies, streaming services and most visited websites. Firms include Amazon, Disney, HBO Max, Hulu, Yahoo, British Telecom, Verizon, Microsoft, Peacock, Sony, TikTok and Twitter.

In anticipation of the transaction, Limelight is to rebrand under the name of Edgio, with the combined company continuing to operate under the new brand after the closure of the deal. Current Limelight chief executive officer Bob Lyons will lead Edgio as CEO after the combination, and its board of directors, which will expand to nine members post-closing, will include three new members appointed by the Apollo Funds.

Lyon remarked that by uniting the firms it was building a powerful application, content and video edge enabled solutions company that delivers improved customer performance, productivity and security for the outcome buyer. “Together we have a strong value proposition to serve the fast-growing, yet fragmented edge solutions market and our combined capabilities will accelerate our ability to capture more share of this high growth $40 billion total TAM,” he said. “In six short months we have taken our TAM from $12 billion to $40 billion and with the acquisition of Edgecast, we are further accelerating and solidifying our ability to be recognised as a leader in edge software solutions for the outcome buyer.”