Press Release

SAN JOSE, Calif., September 13, 2006 - Cisco Systems® today announced it has completed the acquisition of privately-held Arroyo Video Solutions, Inc., a leading provider of next-generation solutions for on-demand television and related consumer services.

By acquiring the Arroyo solution, Cisco is now in a position to deliver a highly extensible platform for video-on-demand today and emerging time-shifted services in the future. The integration of the Arroyo platform into the Cisco IP-NGN (Next Generation Network) architectural framework enables carriers to accelerate the creation and distribution of network delivered entertainment, interactive media and advertising services across the growing portfolio of televisions, personal computers, mobile handsets and emerging media capable devices in our increasingly connected lives.

With the close of the transaction, Arroyo products are now integrated into the Cisco Cable & Video Initiatives Group, within the Service Provider organization led by Michelangelo A. Volpi, Cisco senior vice president and general manager, routing and service provider technology group.

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