Blueshift Ideas Negative on Content Distribution Networks

Blueshift Ideas is out with a series of tweets on the content delivery network space, and is negative on the space, as it becomes a commodity. In their research, Blueshift notes that names like Akamai AKAM, Level 3 Communications LVLT and Limelight Networks, Inc. LLNW are struggling to find higher margin specialty service positions. The San Francisco-based research firm notes that Level Three recently bought Global Crossings, which appears to give the company "the dominant position in the basic data transit market." As new companies enter the space, such as Amazon AMZN, Comcast CMCSA, Verizon VZ and Google GOOG, particularly with mobile platforms, such as the new Kindle browser, it could kill the CDN space for companies like Akamai. Lastly, Blueshift says that it sees the potential for the CDN market to grow in "specialized services like dynamic site acceleration and mobile streaming."