Dan Rayburn
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Wall Street Breakfast: Must-Know Newsby SA Editor Rachael Granby- Bank trio becomes duo. Wells Fargo (WFC) will become the largest U.S. bank by branches with its bid for Wachovia (WB), after Citigroup (C) withdrew from compromise negotiations late yesterday on concerns about the quality of some of Wachovia's assets. Wells Fargo, with a bid valued at $11.4B, expects the purchase to be completed by the end of the year, and denies it will have to absorb assets shakier than originally thought.
- Government considers next steps. As the financial crisis continues to worsen, the U.S. government is considering two dramatic steps to turn around, or at least slow, the damage: guaranteeing billions of dollars in bank debt and temporarily insuring all U.S. bank deposits. The moves, which would mark the government's most extensive intervention to date, are in discussion stages only.
- Credit stays frozen. As frozen credit markets refuse to thaw, the cost of default protection on corporate bonds reaches new global records amid investor concerns the credit crisis will trigger corporate failures as companies struggle to finance their businesses. Interbank lending remains limited, and borrowing from the Fed's expanded discount window continued its trend of setting new highs every week, as the total daily average rose to $420.2B vs. $367.8B last week.
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Wednesday, October 15.Bullish Calls:Continental Resources (CLR) -- "This is a remarkable decline. All of the high quality ones are down so much, I can't go against it. This is where you pull the trigger.
3M (MMM) -- The moment this stock starts yielding 5%, I'm a buyer. Until then, keep your powder dry.Bearish Calls:Computer Sciences (CSC) -- This is a company that was going to be bought, but they passed up the chance. Now I don't want to buy it."Email continues...
Annaly Mortgage (NLY) -- I think this is a business model that needs to borrow money. Definitively do not buy."
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Latest Comments36 Comments
Limelight and Akamai Have No Threat by Amazon's New CloudFront Service
Netflix's New Digital Distribution Will Improve the Bottom Line
This is the main reason why to date, Netflix will not break out any of their costs around their digital distribution offering.
2009 Should Be a Good Year for Level 3's Content Delivery Business
I asked that this title be changed from the original title which was too generic. I was not implying that Level 3 as a company would have a good year, as I only track Level 3's CDN business, which is what this specific post is about.
YouTube Is on a Roll
If the American Idol website only made $13 million last year, and this newly announced deal with YouTube does not include any American Idol content and will feature lesser known programming, why is this a big deal? YouTube won't make much money at all.
And running movies on YouTube that no one wanted to see in the movie theatre or rent, is no big deal either. None of the MGM content is going to be first-run content that appeals to the masses.
And the CBS deal with YouTube is no big deal either. All of the CBS content is "short clips", "mini-previews&qu... and "promotional videos" - terms used by CBS to define the content on YouTube.
And look at the number of views the CBS videos on YouTube have gotten. Many clips that have been up for 6 months don't even have 20,000 views total. The average clip length is between 2-3 minutes long.
"With Hulu.com adding plenty of mainstream content too...." What mainstream content has YouTube added? You say "too" as if YouTube is doing what Hulu is doing, but that could not be further from the truth.
Why Is the YouTube User Experience So Poor?
But to that I say, CNN video is free. So so ESPN. And many, many others. And they all do a much better job than YouTube with a lot less traffic. Why should the fact that something is "free" be an argument for providing a poor user experience, especially when that company is trying to figure out how to make money?
Netflix May Dominate The Online Video World, But With What Business Model?
Akamai: Why Charge More for Streaming Video Delivery vs. HTTP Delivery?
No, Akamai should follow the lead of how customers want to buy services. All that matters is that customers like the pricing model and signs contracts. If they don't, then you have to realize it and change your strategy. And you can't wait a year to do it.
The pricing model Akamai has now for many video CDN deals does not work in the market. How long do they continue to price things differently than everyone else when the market tells them they aren't buying it?
"I assume that if their pricing strategy results in declining market share they will match."
That's a big assumption. They had a rough last quarter and from many, many of the new deals I see in the market, they aren't winning them and are not changing their pricing model.
Netflix May Dominate The Online Video World, But With What Business Model?
Akamai: Why Charge More for Streaming Video Delivery vs. HTTP Delivery?
or multiple articles in the press where i have done interviews:
www.mediaman.com.au/in...
www.econtentmag.com/Ar...
I don't have to list every single company I have ever worked for in the past 10 years.
Akamai: Why Charge More for Streaming Video Delivery vs. HTTP Delivery?
When I talk about who the top three largest CDNs are, specific to video revenue globally, it is Akamai, Limelight and CDNetworks. We know this to be fact as all of those networks are public. Panther Express' revenue specific to video delivery in the U.S. is very_small. I know their revenue and speak to their management who has provided me with details in addition to the number of customers they have specific to video delivery. Panther Express would not be in the top 5 for U.S. based video delivery revenue. Akamai, Limelight, Level 3, Internap and AT&T all do more video delivery revenue in 2008 than Panther Express will. And I don't think there is anything wrong with that as Panther Express is not trying to be an Akamai or Limelight.
Akamai: Why Charge More for Streaming Video Delivery vs. HTTP Delivery?
"As I have said on the blog before, of the 40 CDN companies I list, none of them have ever paid me any money for any work, ever, except Mirror Image which is public info. My work with Mirror Image ended almost a year ago."
And that being said, show me one post anywhere on my blog where I wrote about Mirror Image.
Lets stick to the facts.
Akamai: Why Charge More for Streaming Video Delivery vs. HTTP Delivery?
blog.streamingmedia.co...
In addition, why not comment under your own name? I find it amusing that so many people that comment are so sure of themselves and want to argue a question so badly to prove their point, but are not willing to put their name behind their words. You want to question my creditability, even though I make it clear on my blog that I don't work for any CDN, yet you post anonymously. Wonder why.
Your comment that "however over the past 3 or 4 years there has been little to not innovation" is not just a bad "opinion", it's flat out factually wrong. In 2004 CDNs could not handle the type of large-scale live events, at high bitrates, like they do today. That is just one of many innovations. And was Flash Media Server deployed on CDNs three years ago? Nope. But I guess the advent of Flash streaming for CDNs does not qualify to you as an "innovation" even though Flash is so prevalent.
In addition, as I have clearly wrote on my blog many times, streaming is more expensive due to the licensing costs, but the question I was asking was not why is streaming more expensive. The question I am asking is why Akamai is the ONLY CDN that charges more for streaming, even with Windows Media? You didn’t answer that question.
Akamai and the BBC: News Reporting on CDNs Getting Shoddy
Digging Deeper Into Limelight's Earnings Call
What I was trying to say was that Limelight is building out their CDN for partial business customers have give them, with the idea that if their build out is successful, they could win more of the customers business from other competitors or from in-house solutions.
Digging Deeper Into Limelight's Earnings Call