Verizon to buy content delivery network provider Edgecast

US telco Verizon has agreed to buy content delivery network (CDN) provider EdgeCast, in a bid to “deepen and enhance its video delivery and web services capabilities.”

Verizon said that the deal will see Verizon Digital Media Services integrate EdgeCast in order to meet the “exponential growth in online digital media content,” and to “broaden its portfolio of site acceleration services for digital enterprises” – including studios, broadcasters, retailers and enterprises.

“The combination of EdgeCast and Verizon Digital Media Services will allow us to fully exploit and accelerate growth in internet media consumption and online business performance. EdgeCast’s industry-leading technology and strategically placed assets, combined with Verizon Digital Media Services’ video solutions, improves our ability to deliver the rich, reliable and quality digital media services that our customers have come to expect,” said Bob Toohey, president of Verizon Digital Media Services.

EdgeCast has more than 6,000 accounts and serves digital brands including Tumblr, TubeMogul, Viagogo and Vzaar.

Terms of the agreement were not disclosed, though US tech blog TechCrunch reported that deal will be worth more than US$350 million (€255 million). Verizon said it hopes to finalise the acquisition in early 2014.

The news comes after Verizon bought the assets of upLynk earlier this year – a company that has exclusive technology that streamlines uploading and encoding video content for live, linear and on-demand.