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Amazon Launches CDN Offering

Written by Ryan Lawler
Tuesday, November 18. 2008 at 10:40 AM EST 1 comment
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Following up on an announcement in September that it would enter the content delivery network (CDN) business, Amazon.com Inc. (Nasdaq: AMZN) just brought the new service to market.

The new service, called Amazon CloudFront, will offer the same no-commitment, pay-as-you-go pricing model that the company offers through its other Amazon Web Services (AWS) offerings. CloudFront will be integrated with the company's online storage service, Simple Storage Service (Amazon S3), and its cloud computing service, Elastic Compute Cloud (Amazon EC2).

That could make the service attractive to small and medium-sized businesses that want to use CDN services but don't want to go through the hassle of negotiating contracts with some of the larger content delivery players. 

What also makes Amazon's CloudFront offering attractive for smaller companies is its pricing, which starts at 17 cents per Gigabyte for the 10 Terabytes delivered. And U.S. customers can pay as little as 9 cents a Gigabyte, if they serve more than 150 Terabytes per month.

According to a blog post by Amazon CTO Werner Vogels, CloudFront will serve content from 14 edge locations in the U.S., Europe, and Asia:

  • United States: Ashburn, Va.; Dallas/Fort Worth; Los Angeles; Miami; Newark, N.j.; Palo Alto, Calif.; Seattle, and St. Louis
  • Europe: Amsterdam, Dublin, Frankfurt, and London
  • Asia: Hong Kong and Tokyo

While the pricing and ease of use may prompt some smaller businesses to sign up, Amazon's CloudFront is not for everyone. That's because the service is missing a lot of bells and whistles that CDN customers may want to use.

CloudFront is HTTP-only, which means it doesn't support video streaming, for one thing. The service also only works with Amazon S3 for storage, which means that customers can't use their own origin servers.

Finally, the service doesn't offer any service-level agreements, so there's no guarantee of performance and reliability. And if the service goes down, or a customer has other issues, the automated nature of signup means that customers won't have dedicated support staff to help out.

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Comments
not impressed
johnnybravo

Rank: Pasha

Tuesday November 18, 2008 12:41:20 PM

Amazon is a very "data" driven company.  Translation ... "If they can't create a spreadsheet or a bar graph to tell them what to do they won't make a move."  They will analyze and over analyze every decision ... paralyzation thru over analyzation. 

Selling a cheap product off of a high traffic web site is one thing but getting off the bench and slugging it out in a fast paced direct sales market is another.  Remember Amazon has always been 1st or second into a market ... in CDN they are about the 100th.  Their culture of analysis will not easily transition into a sales driven culture -- faster paced, able to make chocies bsed on gut instinct -- rather than empiricals. 

Sure they are well backed by deep-deep pockets but look for them to make a couple of wrong hires to fit into their culture and add one year to 18 months onto their timeline to truly compete.  By then ... they will be happy to be the cheap bottom feeder.

All the haters that say I am wrong .... let's discuss it in 12 months and tell me how accurate my picture of the futre was or wasn't.  Been here before ....  :)

 

 

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