Cambridge, Mass. – Content delivery network services
provider Akamai Technologies (NASD: AKAM) could be in the midst of losing its contract as
the primary service provider for Netflix’s (NASD: NFLX) popular Instant Streaming service,
according to published reports.
Citing unnamed sources, Reuters reported that the
two companies are in talks over pricing issues, and that Akamai could be losing
the engagement to its rivals, Limelight and Level 3.
Netflix spokesman Steve
Swasey denied any dissatisfaction with Akamai in a statement to CNET, adding,
"We continue to engage Akamai as a vendor in our multi-vendor strategy for
the foreseeable future."
Shares in Akamai were down $2.65 at $51.49 near
the close of trading on Tuesday, a loss of nearly 5%.