Are CDN’s Likely to Raise $1B in 12 Months from VC’s

The CDN industry has taken a turn for the dramatic, as Fastly raised a monster VC round bringing its total to $130M. Today, Fastly is the #1 CDN in terms of money raised, followed by Aryaka Networks and Instart Logic. The twelve startups below have raised a total of $563M $585.7M. Four of the twelve raised less than $10M, so it’s conceivable that if all execute according to plan, they can raise between $200M to $400M in aggregate over the next 12 months, bringing the industry total close to a billion dollars.

Could the market support that many well funded CDNs? Yes. We’re no longer in a basic CDN market, but a hybrid market where various technology sectors are collapsing into the CDN industry, creating dozens of new business models as a result. Security is moving to the edge, Virtual Reality is going to push bandwidth usage to untold numbers, and IoT will change the world we live in as 10 trillion devices go online in the next decade. Sure, there might be a shakeout where some fall out of favor, but others will be there ready to swoop in and take the business at a dimes notice.

Venture Capital Funding for 12 CDNs (in millions)

**Source: Crunchbase
**Correction: Totals up have update