Service provides non-stop video on-demand.

Press Release Summary:

Based on architecture that uses 100% open-standard hardware platforms, Arroyo Always-ON OnDemand solution delivers uninterrupted on-demand TV to subscribers, irrespective of any problems affecting it, even up to failure of entire servers. Service is based on groups of industry-standard servers working together over network and operating as one.

Original Press Release:

Arroyo Introduces 'Always ON' Video On Demand

Nonstop VOD Capabilities Deliver Nonstop Revenues for Operators; Arroyo to Demonstrate 'Always ON' Capabilities at NCTA's National Show

SAN FRANCISCO, Calif. (NCTA's National Show) - April 3, 2005 - Arroyo Video Solutions, Inc. is today introducing "Always ON," nonstop video on demand (VOD) to the industry. Employing the new "Always ON" capabilities of Arroyo OnDemand - Arroyo's industry-leading, 100% open standards solution for VOD - operators have for the first time a solution that continues to deliver uninterrupted on demand TV to subscribers, irrespective of any problems affecting it, even up to the failure of whole servers. Truly nonstop, 24x7 VOD will send video subscriber satisfaction to unprecedented highs, increase operator's revenues, reduce subscriber churn and drive down operations costs.

"Our 'Always ON' OnDemand solution delivers nonstop VOD service for subscribers and nonstop VOD revenues for operators," said Paul Sherer, CEO of Arroyo Video Solutions. "With operators delivering north of one billion VOD streams this year, VOD has clearly moved to a business-critical status. Subscribers need 24X7 VOD service and operators need to sleep at night knowing they are meeting that need. For the first time, with Arroyo's 'Always ON' OnDemand solution, both are realities."

What Arroyo "Always ON" OnDemand Delivers
Delivering uninterrupted video is a key competitive differentiator for MSOs in their battle against satellite. And, given telcos historical reputation for service availability, nonstop VOD is becoming even more important as the war between cable and telco video solutions heats up.

With Arroyo's "Always ON" capabilities, operators can easily design their Arroyo OnDemand network to deliver uninterrupted operation, no matter what happens to it. Subscribers won't even be aware of failures, which up until now would have taken their VOD service completely off the air. And more satisfied subscribers, who buy more movies, are less likely to "churn" and make fewer service calls, which means greater revenues, more subscribers and lower operations costs for operators.

The Enviable Economics of "Always ON"
Arroyo OnDemand is based on groups of industry-standard servers working together over a network and operating as one. Implementing an Arroyo "Always ON" OnDemand network is as simple as adding an extra industry-standard server to the network and licensing the new software feature.

Competitors who have developed large, proprietary boxes cannot offer the same level of reliability, nor the same economics as Arroyo "Always ON" OnDemand. Considering hardware alone, adding a second large proprietary server is an expensive proposition, which requires excess space, power, and management resources.

Arroyo "Always On" OnDemand Demonstration
In booth #6680 at this week's National Show, Arroyo will demonstrate how an Arroyo "Always ON" OnDemand network can tolerate the failure of any component, without interruption to the subscribers' VOD viewing experience. Visitors will see how an Arroyo "Always ON" network overcomes simulated failures ranging from failures of components, such as Ethernet ports, to the failure of entire heavily loaded servers, without interrupting the customers' video.

About Arroyo Video Solutions
Headquartered in Pleasanton, California, Arroyo Video Solutions first product, Arroyo OnDemand, offers video operators a unique network-centric on demand architecture that uses 100 percent open-standard hardware platforms. Arroyo OnDemand employs Arroyo Video Accelerator technology, which improves performance ten-fold over other leading VOD products, and is the first solution to deliver "Always ON" nonstop VOD.

Arroyo is a privately held company, funded by leading Silicon Valley venture firms Matrix Partners, DCM-Doll Capital Management and Foundation Capital; and by Time Warner Investments and Comcast Interactive Capital, the investment arms of two of the nation's largest media companies. For more information, please visit

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