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Case Study - Akamai Technologies: When Demand Exceeds Capacity

See the attached file.

1. Why does Akamai need to geographically disperse its servers to deliver its customers' Web content?
2. If you wanted to deliver software content over the Internet, would you sign up for Akamai's service? Why or why not?
3. What advantages does an advertiser derive from using Akamai's service? What kinds of products might benefit from this kind of service?
4. Why don't major business firms distribute their videos using P2P networks like Bittorrent?
5. Do you think Internet users should be charged based on the amount of bandwidth they consume, or a tiered plan in which users would pay in rough proportion to their usage?


Solution Preview

1. Akamai has to geographically disperse its servers to deliver its customer's web content because bandwidth grows exponentially, sometimes within a few months. If any deliverer of internet content hopes to remain in business within a few years, then it must make allowance for the growth of technology.

2. I would not sign up for Akamai's service with its current capacity. Either the service will slowly ...

Solution Summary

The solution discusses when demand exceeds capacity in Akamai Technologies.