Burgeoning video traffic isn’t just on the minds of WAN optimization gear makers -- it’s also top-of-mind for content delivery providers.

Service providers such as Akamai Technologies, CacheLogic and Limelight Networks use their distributed networks of servers to deliver content and applications to end users. In this way, companies subscribing to the services can reduce the traffic burden on their own servers and speed performance for their end users and customers.

As traffic generated by rich Web applications and multimedia has grown, so too has demand for content delivery network (CDN) services. According to research firm Gartner, content and application delivery network services will grow through 2011 at a compound annual growth rate of more than 33% in North America.

Video, specifically, is one of the key elements that are prompting CDN providers to revamp their service offerings. One of the latest to do so is CacheLogic, which last week announced new service capabilities, including new ways to distribute video.

With the launch of its Velocix 2.0 network service, CacheLogic introduced a trio of video delivery options. There’s the traditional download option, in which a video is first downloaded and then made available to view; progressive download, which lets viewers start watching a video while it’s downloading; and live streaming. Customers can choose which delivery method they want for each of their digital assets.

CacheLogic also announced new partnerships with Adobe and Microsoft as part of an effort to provide live and on-demand video streaming services for Adobe's Flash streaming media format and Microsoft's Windows Media format, respectively.

In addition, CacheLogic continues to try to distinguish itself from its competitors by bolstering its management and reporting options. With Velocix 2.0, companies can track how each item in their digital asset library is viewed. Audience statistics are available by time and region and for each asset stream being managed by the network.

Security and authentication is another company focus. The new Velocix Video services include support for geo-blocking and token-based authentication so customers can control who views content and enforce pay-per-view video services.

Ann Bednarz is associate news editor at Network World.