Wowza Media Systems, a leader in media server software, released their flagship Wowza Media Server Pro product in February 2007. Wowza Media Server Pro is used to stream Flash media content, including live and on demand video/audio, interactive video/audio and text chat, remote recording and collaborative applications like gaming.

The media server space is crowded, especially with large, established competitors like Adobe and Microsoft but Wowza has tasted success. Since launching, Wowza Pro has been named Streaming Media Magazine’s Editors’ Pick in 2007 and 2008 and won the magazine’s 2008 Readers’ Choice award. During the same period, Wowza has acquired more than 18,000 global licensees among them customers such as Macy’s, Sun Microsystems, Boeing, Newell Rubbermaid, Portuguese Telecom, Disney, Universal Music GmbH, Astral Media, and new media phenoms and

Originally, Wowza Media Server Pro was only sold as server software that users installed and operated on their own or hosted servers. With high costs and contracts associated with streaming media via managed hosting and CDN services, tech savvy start-ups and small businesses had difficulty taking advantage of Flash streaming. Seeing substantial demand from this segment, Wowza teamed up with Amazon Web Services (AWS) to offer Wowza Media Server Pro on Amazon EC2 as self-managed Software-as-a-Service (SaaS). Then, incorporated AWS’ billing solution, Amazon DevPay, to easily charge customers based on usage of the Wowza Pro license, EC2 instances (by size and machine time) and bandwidth.

“The elastic nature of Amazon EC2 combined with Wowza Pro and the integrated billing of Amazon DevPay is a perfect solution for a broad set of customers,” mentions David Stubenvoll, CEO and Co-Founder. “Wowza Pro on Amazon EC2 offers a cost-effective model that makes equal sense for bootstapped start-ups or for rapidly growing enterprises.”

In addition to Amazon EC2, Wowza has also incorporated Amazon S3 into their offering by allowing customers to access stored media directly from Amazon Simple Storage Service (Amazon S3). Wowza Pro employs its own MediaCache mechanism to improve the performance of streaming media from Amazon S3.

“This has been a success, and has created a great new revenue source for us. Since launching Wowza Pro on Amazon EC2 with DevPay, hundreds of users have signed up and our revenue for Wowza Pro has increased by more than 400 percent in just 6 months.”

Stubenvoll continues, “EC2’s cost structure offers very compelling economics that compare very favorably to managed streaming, hosting and CDN services. The flexibility to dynamically add or reduce capacity as business demands and manage the cost accordingly is essential in many business modes.”

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