No. of Recommendations: 0
What is really intriguing about the whole story though is its apparent exclusive position as compared to other PIBC's. The others have competitors that are therefore unlikely to utilize their server networks.


That is true - they do have an advantage there.

what about the strength of AKAM's business model.......is it really sustainably competitive? It is afterall a "throw back" of the "build it and they will come model" that took down so many other companies in the dot come era......but there AKAM sits....still alive.


I would say barely alive - more like one of the 'living dead'. As far as their business model - I've haven't looked at the company for a while, but I think it is not particularly a good one. I would be interested if they started to licience their IP to other companies - that might be a good revenue stream to explore.

I think since the hardware has become so cheap, it may be viable for many companies to buy more servers and install Linux on them to manage their traffic, rather than install AKAM boxes.

I think AKAM charges 13k a month, whereas F5 boxes are available from Dell for a whole lot cheaper (10k?). The migration towards EdgeSuite is because they cannot make a profit from 80% market share in the load-balancing algoritms market. That is not good. I don't know anything about this EdgeSuite but would wager they have much stronger competition in this new market.

I remember when AKAM could do no wrong - and I almost invested - it is disappointing to see such a brilliant idea simply not be profitable.

I can't see the relationship between Google and AKAM/MSFT. Google does not compete with AKAM as far as I know, and not sure why the Google IPO would give AKAM stock a boost.

Steve

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