Back to top

Image: Bigstock

CenturyLink Augments Edge Computing With Steamroot Buyout

Read MoreHide Full Article

CenturyLink Inc. (CTL - Free Report) recently completed the acquisition of privately held firm Steamroot Inc. for an undisclosed amount to reinforce its commitment toward edge computing services. The buyout also strengthened its position as a leading provider in content delivery network.

Paris-based startup Steamroot offers state-of-the-art video delivery solutions across connected consumer devices such as smart phones, tablets, computers, set-top consoles and smart TVs. Its disruptive content delivery model leverages a secure and private mesh delivery system to provide premium content to millions of customers without compromising on quality. This edge-based delivery architecture facilitates users to enjoy high-quality over-the-top video streaming content that would not have been possible through conventional content delivery methods.

With the acquisition, CenturyLink has been able to enrich its video content offerings in bandwidth-constrained areas by utilizing Steamroot’s edge computing and data-driven approach. The transaction is likely to transform CenturyLink’s business operations through product evolution and digitizing of customer interactions, thereby combating stiff market competition. On the other hand, the deal enabled Steamroot to gain additional mileage from a dedicated customer base of CenturyLink and accelerate its innovations for improved viewing experience.

CenturyLink is actively investing in fiber-to-the-tower (FTTH) facilities and has expanded its fiber-based backhaul services to gain traction in the over-the-top video streaming content. The company has significantly increased broadband speed with continuous investments in network development. Its IPTV rollout is likely to bring further high-speed Gigabit broadband to new markets through the FTTH network infrastructure.

In addition, CenturyLink is focused on bringing improved operational efficiencies through a number of methods, including network simplification and rationalization. This should help the company improve its end-to-end provisioning time and drive standardization. CenturyLink also aims to establish itself as a global leader in cloud infrastructure and hosted-IT-solutions arena designed for enterprise customers. The company’s strong network capabilities, integrated hosting and network solutions are likely to promote growth in the cloud business. Notably, the company views its managed and cloud services as key differentiators from other players in the market.

Some stocks in the industry worth considering are T-Mobile US, Inc. (TMUS - Free Report) , Telenav, Inc. (TNAV - Free Report) and ATN International, Inc. (ATNI - Free Report) .    

T-Mobile beat earnings estimates in each of the trailing four quarters, the average positive surprise being 17.9%.  

Telenav beat earnings estimates twice in the trailing four quarters, the average positive surprise being 12%.  

ATN International beat earnings estimates thrice in the trailing four quarters, the average positive surprise being 128.1%.

7 Best Stocks for the Next 30 Days

Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”

Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.6% per year. So be sure to give these hand-picked 7 your immediate attention.

See them now >>