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InvestorsJanuary 9, 2006

Arroyo Announces Agreement With Charter for VOD Services

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PLEASANTON, Calif., Jan 09, 2006 (BUSINESS WIRE) -- Arroyo Video Solutions, Inc. today announced an agreement with Charter Communications, Inc. (Nasdaq:CHTR) to provide Arroyo OnDemand to support the rollout of video on demand (VOD) technology in Alcoa, Tennessee.

"Arroyo's open standards approach to VOD allowed easy integration with the C-COR nABLE platform in Alcoa for our business management and session-resource management capabilities," said Pragash Pillai, Charter Vice President Advanced Engineering, Digital Video. "Arroyo OnDemand, together with C-COR's nABLE back-office system, provides us with a flexible, end-to-end VOD solution and the ability to add new features, functions, hardware and applications quickly and effortlessly while taking full advantage of the advancements the computer industry delivers today."

"We're extremely enthusiastic to announce Charter as the third major cable company to select Arroyo OnDemand," said Arroyo's President and CEO Rick DeGabrielle. "The deployment in Alcoa is further proof of Charter's pioneering adoption of open platform systems to support its Charter OnDemand service nationwide, and we're pleased they see the value that our software-based, network-centric approach to video delivery will provide in the areas of scalability, future-proofing and total cost of ownership."

Arroyo OnDemand is based on the company's sophisticated, Internet-proven software networking technology, and enables the creation of next generation personalized entertainment infrastructures. Arroyo's networking architecture provides the intelligence that allows multiple independent, open standards-based hardware elements to operate as one, delivering critical benefits over competing hardware-based video delivery solutions. These benefits include unmatched flexibility; effortless scalability of streams, content and ingest; and Arroyo's "Always ON" capability that deliver 24x7 reliability and total system availability. Arroyo OnDemand's breakthrough performance includes the industry's first 10 Gigabit Ethernet support, unparalleled streaming density of over 1,600 streams per rack unit, and the ability to simultaneously ingest 160 channels per industry-standard server. Using Arroyo OnDemand, operators can deliver more revenue-generating services faster, enhance customer satisfaction, and achieve the lowest total cost of ownership in the industry.

About Arroyo Video Solutions

Arroyo Video Solutions, Inc. is the creator of an innovative software infrastructure that empowers operators to realize the promise of personalized entertainment services. This software enables a network of 100 percent industry-standard servers to work together to deliver a multitude of revenue-generating personalized applications, including video/music on demand, advertising, network PVR, and games.

Truly the direction for the future, Arroyo's software infrastructure shifts the focus from individual servers to the network. It delivers the networking intelligence required to build large, scalable, highly-reliable, open personalized entertainment networks and removes the limitations inherent in proprietary hardware in the areas of flexibility, future-proofing, and total ownership cost.

Arroyo's customers consist of operators and service providers around the world, including leading U.S. cable operators Comcast, Time Warner Cable and Charter. For more information, please visit

SOURCE: Arroyo Video Solutions, Inc.

Arroyo Video Solutions, Inc., Pleasanton
Marcia Bana, 925-225-2111 x.216
HighTech Public Relations, Inc. for Arroyo
Terry May, 321-632-1690