Kasenna Poised for Breakout Year as Global Demand Accelerates for IPTV; Company Closes 2006 With 100%+ Revenue Growth and Over 60 New Customers

Kasenna Poised for Breakout Year as Global Demand Accelerates for IPTV; Company Closes 2006 With 100%+ Revenue Growth and Over 60 New Customers

Kasenna's Video Server Set New Scalability Record; Company Also Bolstered Its Executive Team and Opened Offices in China, India, and Russia

SUNNYVALE, Calif., Jan. 18 /PRNewswire/ -- Kasenna, The IPTV Company, announced today a record close to 2006, marked by its fourth-quarter launch of PortalTV 2.0, key additions to its executive team, the opening of several new offices, and strong growth prospects for 2007. During the year, Kasenna took advantage of the burgeoning demand for IPTV by offering the next generation of its industry-leading PortalTV solution. A powerful IPTV middleware and server suite, PortalTV 2.0 makes deployment easier for service providers and helps them generate new revenue streams. In order to serve the significant increase in demand for PortalTV 2.0 and its growing global customer base, which now totals more than 250, Kasenna added several senior executives to its management, product, and service teams and opened additional offices in China, Russia, and the U.S. The company also established the IPTV Center of Excellence in Bangalore, India, to serve that growing new market.

Kasenna continued to ride the wave of international interest in IPTV in markets such as China, which is expected to reach five million subscribers by 2010, according to research firm Heavy Reading. As further testimony to its growing global presence, in December Kasenna saw its IPTV Center of Excellence in India bring together multi-vendor IPTV systems to enable quicker deployments.

"This industry has moved from the 'kick the tire' phase to going mainstream," said Jeff Heynen, industry analyst for Broadband and IPTV at Infonetics. "We predict IPTV equipment sales in the U.S. will grow to $6.8 billion by 2009, and Kasenna and others will benefit from that."

PortalTV 2.0

Kasenna's PortalTV 2.0 includes a combination of web services-based IPTV middleware LivingRoom 2.0 and the industry's most widely deployed video server software, MediaBase 8.2. Setting new standards as the industry's first MPEG-4-ready solution, the PortalTV 2.0 suite offers these industry advances:

-- Delivery of 130,000 streams per server in MPEG-4 programming. MediaBase
XMP 8.2 VOD server broke the industry's 100,000-stream-per-server
barrier, a breakthrough that enables carriers to serve 1.3 million
subscribers from one server rack at 10 percent concurrency.
-- The industry's first open and dynamic HTML-based client software, which
gives operators flexibility to make more rapid programming changes.
-- The Kasenna LivingRoom 2.0 software development kit (SDK), the
industry's first open, web services-based SDK for development of IPTV
and Internet video applications.

These technology firsts, testament to Kasenna's efforts to drive the expanding IPTV market, enable carriers to deliver the best of TV and the Internet while giving IPTV subscribers a quantum improvement over standard television.

Executive Team Expansion

In August, Kasenna built out its executive team, naming Sanjay Mehta vice president of engineering. Mehta, who has a strong background in operations and experience at DirecTV Broadband, DSC (now Alcatel), and Nortel, joined CEO Kumar Shah to help drive R&D and customer relations.

"This has been a banner year for Kasenna, as we helped power North America's first MPEG-4 IPTV rollout and grew the ranks of our executive and product teams to reinforce our position as a leader in the IPTV industry," said Shah. "We expect 2007 to be a watershed year as our PortalTV suite helps carriers leverage opportunities arising from the convergence of the two powerful media of television and the Internet."

Capping the year, MRG Research named Kasenna's MediaBase XMP VOD server software the industry's leading VOD server product. "MRG, Inc, ranks IPTV vendors in the Asia, Europe, North America and Rest-of-World markets; in the IPTV VOD Server category, Kasenna ranks as the market-leader for both North America and the Rest-of-World regions," states Gary Schultz, CEO of MRG. "By linking a strong offering in both VOD and middleware, plus offering VOD content aggregation services like View Now, Kasenna has also been a leader in integrating with other best-of-breed vendors in the IPTV value chain."

About Kasenna

Kasenna, The IPTV Company, is a leading provider of video-on-demand (VOD) content and MPEG-4-ready IPTV applications for triple-play services over broadband networks. The fully integrated Kasenna PortalTV(TM) solution enables telecom service providers, cable operators, and others to generate additional revenue, increase profits, and raise customer satisfaction by delivering advanced television services. Proven through dozens of global deployments, Kasenna's patented software technology is built on open standards, enabling providers to easily customize services and the viewer experience. Through its ViewNow subsidiary, Kasenna offers the industry's only turnkey IPTV solution that includes scalable IP video infrastructure, subscriber applications, and VOD programming. Kasenna is a privately held company with headquarters in Sunnyvale, California, and office locations worldwide. For more information, please visit www.kasenna.com.

NOTE: Kasenna, PortalTV, and The IPTV Company are trademarks of Kasenna, Inc. All other brands, products, or service names are or may be trademarks or service marks of their respective owners.

Source: Kasenna, Inc.

CONTACT: Karin Taylor of Trainer Communications, +1-408-979-0891, or
mobile, +1-408-398-3967, or kas@trainercomm.com, for Kasenna, Inc.; or Allan
Linden, Sr. Director Marketing Communications of Kasenna, Inc.,
+1-650-943-8813, or allan@kasenna.com

Web site: http://www.kasenna.com/

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