ViewNow and Cavalier Telephone Deliver First U.S. MPEG-4 Video on Demand


Additional Markets Scheduled for Deployment by End of 2006

ENCINO, Calif., Nov. 6 -- ViewNow, the leader in Video on Demand (VOD) programming aggregation, and Cavalier Telephone & TV, one of the leading IPTV service providers in the United States, today announced that they have successfully delivered the first MPEG-4-based video on demand content to IPTV subscribers. Currently, Cavalier subscribers in Richmond, VA markets are receiving content in MPEG-4 H.264 format, and Cavalier plans to extend delivery to several of its other markets by the end of the year. MPEG-4 is the newest standard encoding format for video content, and it is expected to eventually replace MPEG 2 because it offers much better compression for faster and less bandwidth-intensive transport of video programming over carrier networks.

"Cavalier Telephone continually strives to bring the most advanced video services to its customers, and MPEG-4 is the next logical step," said Brad Evans, CEO of Cavalier Telephone. "With MPEG-4-encoded programming content from ViewNow, we are taking another step forward by delivering the highest quality video with the best performance."

Cavalier Telephone operates in six Mid-Atlantic States and is adding more than 10,000 new residential customers per month. In addition to its current service in Richmond, the company plans to deploy MPEG-4 video services with ViewNow content Norfolk, Baltimore, Philadelphia, and metro Washington D.C. by the end of this year.

"Major film studios have endorsed the ViewNow MPEG-4 encoding as the future of IPTV and VOD content distribution," said Larry Holeman, President of ViewNow. "Thanks to Cavalier Telephone's vision and our close working relationships with studios, we have been able to deliver the first MPEG-4- encoded video on demand content in the United States."

ViewNow is the leading IPTV and VOD content aggregator, with distribution rights from major motion picture studios as well as many independent studios. ViewNow licenses, encodes, and distributes content from Warner Bros, New Line Cinema, 20th Century Fox, Paramount, NBC/Universal, Dreamworks, Buena Vista/Disney, and many other Independent studios in MPEG 2, MPEG-4 (H.264), and VC1 formats.

Cavalier Telephone & TV is also deploying ViewNow's unique ViewTrak(TM) solution. ViewTrak is a trusted system that provides all of the viewing, accountability and standard measurement metrics cited by Affiliates and Studios as the critical information they need to successfully manage their businesses. ViewTrak's usage reports include total views by program, views by time of day, total number of unique households, average minutes watched, and usage of trick mode functions. ViewTrak's real-time 24/7 measurement of consumer behavior is anonymous and reported in aggregate to protect customer privacy.

About Cavalier Telephone

Cavalier Telephone is a facilities-based, full-service local telephone company (CLEC) offering the latest in advanced telecommunications products, including advanced telephone features and high-speed Internet access for business and residential customers. Cavalier Telephone currently serves approximately 35,000 businesses and 220,000 residential customers in Richmond, Norfolk, Northern Virginia, Maryland, Philadelphia, Delaware, Southern New Jersey, and Metro Washington, DC. For additional information regarding Cavalier Telephone, visit the company's website at http://www.cavtel.com/.

About ViewNow

ViewNow, a Kasenna company, is a leading Video on Demand programming, management, and marketing services company serving Telco and Cable TV markets nationwide. ViewNow has long-term, full output agreements with major motion picture studios and other programming providers. ViewNow offers a turnkey solution for delivering VOD programming inclusive of programming acquisition, encoding, programming management, and transport via satellite to its affiliates. ViewNow affiliated companies have access to the most extensive library of marketing support materials for VOD, customer acquisition, and VOD functionality. Using its proprietary software suite, ViewTrak(TM), ViewNow offers its affiliates the capability to track programming activations on a real time basis. For more information, visit www.viewnow.tv.

Source: ViewNow

CONTACT:
Steve Curran,
Vice President of Business Development of ViewNow,
+1-541-330-6909
stevecurran@viewnow.tv

Web site: www.viewnow.tv/

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