US-based cloud computing and Content Delivery Network (CDN) company Akamai plans to end its CDN in China, ending services in the country on June 30, 2026, the company said in a letter to customers. After this point, any remaining content requests will be automatically served from neighboring countries.
"We understand that change can be challenging, but we are committed to making this process as smooth as possible for you," Akamai said in its customer letter. The company has long looked to shift beyond its CDN roots in search of higher, more stable returns.
"Akamai first made its name with the invention of content delivery services, and we're still the world's leader in that market today," co-founder and CEO Dr. Tom Leighton said in a Q2 2024 earnings call. "As we've said in previous calls, our delivery business has been challenged in recent quarters by macroeconomic and geopolitical headwinds."
He added: "We will continue to take steps to retain our market leadership while also reinvesting most of the cash flow from our delivery product line into the fast-growing areas of the business. In Q2, delivery accounted for one-third of our revenue, or $329 million. This is quite a change from five years ago when delivery accounted for two-thirds of Akamai revenue."
