Oklahoma MBO Video Deploys Myrio’s IP Video Solution to Telcos in Four State Region

Cimarron Telephone first to deploy Myrio’s offering including unique content solution

Kirkland, Wash. - Myrio Corporation, the leading provider of software, content and integration services which enable broadband operators to offer advanced IPTV services, announced today that MBO Video has begun offering Myrio’s video solution to telephone companies in Oklahoma, Arkansas, Kansas and Missouri. Cimarron Telephone in Mannford, OK is the first MBO customer to offer Myrio’s solution including TV, PPV, Music and Web content to its subscribers, leveraging MBO’s regional SONET network.

MBO Video, an Oklahoma based full-service telecommunications provider, will use Myrio’s solution to complete the “triple play” of services – voice, data and video. MBO also plans to distribute its headend and represent Myrio’s software in Arkansas, Kansas and Missouri. Within the next 24 to 36 months, MBO expects to have more than 50,000 video subscribers.

With an ambitious rollout schedule, MBO required a video solution provider with proven commercial scalability. MBO’s centralized headend model is similar to other Myrio commercial deployments, which have demonstrated the scalability of Myrio’s solution by distributing their headends to multiple telephone companies.

In order to deliver on the “triple play” and create a one-stop-shop for its customers, MBO consulted Myrio, VideoTele.com, a division of Tut Systems (NASDAQ: TUTS), and Calix. By combining Myrio’s video software suite of Myrio Interactive™ and TotalManage™ with VideoTele.com’s Astria® digital headend and the Calix C7™ simplified services platform, MBO was able to create an end-to-end switched digital video network that exceeds the capabilities of competing service providers.

Having worked with VideoTele.com on several other deployments, Myrio’s integration with the digital headend was seamless. VideoTele.com's Astria® digital headend enables MBO to take in both off-air analog and pre-compressed digital video and perform demultiplexing, low bit-rate digital encoding, rate conversion and protocol conversion for distribution over any transmission type, including xDSL, coax and fiber.

MBO has been using the Calix C7 simplified services platform to provide voice and data services since April 2002. Consistent with the “triple play” vision of the Calix C7, MBO can now transport and deliver voice, data, and video services from VideoTele.com’s video head-end to the customer, as well as provide integrated multicast video switching and IGMP processing. The Calix C7 also allows MBO to transport and distribute video content to other service providers.

Myrio's content management solution played a significant role in Cimarron’s decision to deploy, since Myrio is the only Internet Protocol (IP) middleware company to offer content management services. “We feel that content is critical to providing a competitive service,” said Gene Baldwin, vice president of Cimarron Telephone. “Myrio’s content solution allows us to come out of the chute with a compelling offering. It also helps speed our time to market, while reducing our operating expenses.”

“MBO Video and Cimarron are demonstrating that IP video is a crucial weapon in the fight for customer retention and top-line revenue growth for telcos,” stated Kevin Kosche, vice president of marketing and sales at Myrio. “Myrio continues to focus on the key enablers that drive down both operational and capital expenses for our customers. By leveraging Myrio's content relationships and professional services, MBO and Cimarron will have access to over 400 hours of VOD content per month, and 33 channels of PPV all of which will be professionally managed through Myrio’s Content Management Services (mCMS) at a fraction of the cost of alternative solutions.”

About MBO Video

MBO Video is a privately held company whose SONET network spans the four state region of Oklahoma, Arkansas, Kansas and Missouri. MBO established a market leadership position in 1997 and now has more than 1,500 miles of fiber optics throughout Oklahoma and Arkansas. MBO has completed the first statewide redundant network that supports video distance learning applications, and has grown to also provide integrated solutions with voice, data, long distance, video, Internet, cable and wireless applications. Through its wholly owned independent telephone companies, it also provides end-to-end network solutions with a full range of products and services. MBO Video provides wholesale network capacity to carriers and other telcos in addition to commercial network private line services for large business clients with statewide networks.

About Cimarron Telephone

Cimarron is an Independent Local Exchange Company (ILEC) providing local telephone services to north central Oklahoma since the early 1900's. Over the last 10 years Cimarron Telephone Company has invested heavily in local infrastructure making the latest technology available to its customers. Whether it is installing a 120-mile local fiber optic SONET Network for improving voice and data service, DSL services, or bringing the Internet backbone to Mannford, Cimarron has committed itself to providing its customers the latest service offerings.

Cimarron and its parent company MBO Video have joint ventures that provide services which include IP/ATM transport over MBO’s SONET network, DSL, Digital TV via new digital headend, Internet services and wireless services through affiliates Sprocket and US Cellular. Another affiliate, Cim-Tel Cable, Inc., provides digital CATV services to the surrounding Mannford area.

For further information, contact:

Bob Berryman - info@cimtel.net

Milton Alford - info@mbovideo.com

About Myrio

Myrio is the leading provider of software and integration services that enable new video revenue opportunities for broadband service providers by leveraging their existing infrastructures. With Myrio's solutions, operators can offer next generation, TV-based services and media to their customers. In turn, operators can protect their valuable residential assets from competitors, such as cable and satellite companies. A pioneer in the industry, Myrio has commercially deployed its solutions to operators throughout the United States, and is conducting customer trials internationally as well.
Myrio is a privately held corporation funded by Ridgewood Capital, NeoCarta Ventures, and Alexander Hutton Venture Partners. For more information, please visit Myrio's web site at www.myrio.com.