Fastly’s Dependence on Content Delivery Over the Faster-Growing Security and Compute Is Challenging

The majority of Fastly’s operations consist of running a content delivery network, which we don’t think is a very attractive business. The company has a more modern architecture than traditional CDNs, but we think any advantage would shine through an ability to offer its service with lower costs or superior edge computing capabilities, and Fastly has not shown it can take advantage of either.