Netflix launches its own CDN (Content Delivery Network).
I love CDNs. It is the most cost effective and convenient way to operate a news web site like ours. Netflix could also not work without CDNs. Now they get even themselves into the CDN business with Netflix Open Connect Network.
Netflix is enabling ISPs to get Netflix video data from Open Connect, a single-purpose Netflix content delivery network we’ve established. Netflix will continue to work with their commercial CDN partners for the next few years, but eventually most of our data will be served by Open Connect. About 5% of Netflix data is already being served by Open Connect.
As part of Open Connect, Netflix is also sharing their hardware design and the open source software components of the server.
Via Netflix blog.