Telenor’s Strategic CDN Modernization with Broadpeak: A Catalyst for OTT Growth and Operational Efficiency

The Over-The-Top (OTT) ecosystem is undergoing a seismic shift, driven by surging demand for high-quality streaming and the proliferation of fiber and 5G networks. As the global OTT market expands at a 11.45% CAGR, reaching USD 596.92 billion by 2030 [1], telecom operators must modernize infrastructure to remain competitive. Telenor’s partnership with Broadpeak to overhaul its content delivery network (CDN) in the Nordic region represents a high-conviction infrastructure play, aligning with these trends while unlocking operational efficiency and OTT growth.

Strategic Rationale: From Legacy to Modernized CDN

Telenor’s decision to replace its existing CDN with Broadpeak’s solution underscores a strategic pivot toward scalable, energy-efficient infrastructure. Broadpeak’s system delivers over 1 Tb/s per server and includes multiple points of presence (PoPs) across Norway, Sweden, and Finland to manage peak traffic [2]. This modernization enables Telenor to support advanced OTT features—live TV, VOD, catch-up, and PVR—while offering CDN-as-a-service to third-party content providers [3]. By consolidating its delivery architecture, Telenor reduces operational complexity and capital expenditures, a critical advantage in a market where 5G and fiber adoption are driving bandwidth demands [4].

The partnership also aligns with Telenor’s broader infrastructure investments. A NOK 6 billion acquisition of GlobalConnect’s consumer business in Norway added 140,000 fiber customers, boosting its market share to 29% [5]. Meanwhile, a NOK 1.4 billion investment in Finland’s housing association broadband infrastructure aims to deliver an all-fiber network by 2028 [6]. These moves position Telenor as a digital infrastructure leader, leveraging its network to monetize OTT services and third-party partnerships.

Operational Efficiency and Financial Performance

Telenor’s Q2 2025 results highlight the financial benefits of this strategy. Adjusted EBITDA grew 8.3% year-over-year to NOK 9.3 billion, driven by Nordic markets [7]. The company’s fiber expansion and CDN modernization have reduced latency and improved user retention, critical metrics in a competitive OTT landscape. Analysts note that Telenor’s EBITDA margin expansion—supported by cost reductions and revenue gains—reflects disciplined capital allocation [8].

The CDN upgrade also enhances Telenor’s ability to compete with global OTT giants. As the U.S. market alone is projected to grow at a 10.58% CAGR to USD 222.10 billion by 2030 [9], operators must differentiate through localized infrastructure. Broadpeak’s AI-driven analytics and real-time QoS/QoE monitoring tools [10] enable Telenor to optimize content delivery, ensuring a seamless experience for its 14 million Nordic customers.

Competitive Positioning in the OTT Ecosystem

Telenor’s CDN modernization is not just a technical upgrade but a strategic response to industry dynamics. The global CDN market, valued at USD 26.47 billion in 2025, is expected to grow at 11.26% CAGR through 2030 [11], driven by OTT video traffic and edge computing. By adopting Broadpeak’s cloud-native architecture, Telenor gains flexibility to scale during peak demand, a critical edge in live streaming and sports rights monetization.

Moreover, Telenor’s CDN-as-a-service model diversifies revenue streams. Third-party content providers can leverage Telenor’s infrastructure to reach Nordic audiences, creating a flywheel effect. This aligns with broader industry trends, where telco-OTT bundling and ad-supported models are reshaping monetization [12]. Telenor’s CEO emphasized that such partnerships are central to its “digital infrastructure provider” vision [13].

Risks and Long-Term Outlook

While Telenor’s strategy is compelling, challenges persist. Asian operations, including Bangladesh and Pakistan, face macroeconomic headwinds, dragging on revenue growth [14]. However, the Nordic markets’ resilience—bolstered by government-led digital mandates and 5G adoption—offsets these risks. Analysts project high single-digit EBITDA growth for 2025, with the CDN modernization acting as a catalyst for long-term value creation [15].

Conclusion

Telenor’s CDN partnership with Broadpeak exemplifies a high-conviction infrastructure play, combining technical innovation with strategic market positioning. As OTT demand accelerates, operators that modernize delivery networks and leverage scale—like Telenor—will outperform peers. The Nordic region’s digital transformation, coupled with Telenor’s fiber expansion and CDN-as-a-service model, positions the company to capitalize on the OTT boom while maintaining operational efficiency. For investors, this represents a rare convergence of macro trends and executional excellence.

Source:
[1] OTT Industry Growth | Market Trends, Size & Analysis [https://www.mordorintelligence.com/industry-reports/over-the-top-market]
[2] Telenor taps Broadpeak for Nordic streaming upgrade [https://www.mobileworldlive.com/telenor/telenor-taps-broadpeak-for-nordic-streaming-upgrade/]
[3] Telenor and Broadpeak: a strategic partnership for Nordic streaming [https://www.webdisclosure.com/article/telenor-and-broadpeak-a-strategic-partnership-for-nordic-streaming-2exuU3iE01C]
[4] Content Delivery Network (CDN) Market Size and Share [https://www.mordorintelligence.com/industry-reports/content-delivery-market]
[5] Earnings call transcript: Telenor Q2 2025 sees strong EBITDA growth [https://www.investing.com/news/transcripts/earnings-call-transcript-telenor-q2-2025-sees-strong-ebitda-growth-stock-rises-93CH-4141199]
[6] Telenor ASA's Strategic Position and EBITDA Growth in the ... [https://www.ainvest.com/news/telenor-asa-strategic-position-ebitda-growth-nordics-model-long-term-creation-2507/]
[7] Telenor Q2 2025 presentation: Nordic strength drives ... [https://www.investing.com/news/company-news/telenor-q2-2025-presentation-nordic-strength-drives-raised-ebitda-outlook-93CH-4140988]
[8] Telenor ASA (TELNF) Q2 2025 Earnings Call Highlights [https://finance.yahoo.com/news/telenor-asa-telnf-q2-2025-010040154.html]
[9] US OTT Market Size, Share Analysis, Forecast Report 2025 [https://www.mordorintelligence.com/industry-reports/united-states-ott-market]
[10] Analytics and monitoring [https://broadpeak.tv/our-solutions/analytics-and-monitoring/]
[11] Content Delivery Network (CDN) Market Size and Share [https://www.mordorintelligence.com/industry-reports/content-delivery-market]
[12] Over-The-Top (OTT) Services Industry and Competition [https://finance.yahoo.com/news/over-top-ott-services-industry-120200142.html]
[13] Telenor delivers strong Q2 driven by Nordics market [https://www.advanced-television.com/2025/07/18/telenor-delivers-strong-q2-driven-by-nordics-market/]
[14] Telenor strategies fail to improve revenue growth [https://telecomlead.com/telecom-services/telenor-strategies-fail-to-improve-revenue-growth-119926]
[15] Telenor ASA's Q1 2025 Results: Nordic Resilience and ... [https://www.ainvest.com/news/telenor-asa-q1-2025-results-nordic-resilience-strategic-gambits-volatile-world-2505/]