In developing the next-generation "triple-play" technology solution for the hotel market, we examined all of the shortcomings of the existing legacy systems. The development of the NxTV System on an IP-over-Ethernet platform was driven by the goal of addressing the following issues:

• Incumbent legacy providers' products and services are built on an analog coaxial platform. This inherently shared bandwidth, broadcast technology is not suited for broadband, bi-directional communication. As a result, the performance and capabilities of analog systems are limited.
• The number of movie channels available on a coaxial network is limited, because the bandwidth is shared with the free to guest (FTG) service provider. This limitation further restricts the network's capacity to provide additional on-demand services.
• The more recent coaxial systems store movies digitally on a video server, but the movies are not streamed digitally to the guestroom. The digital video stream must be RF-modulated at the head-end to accommodate the analog coaxial network, reducing picture quality and eliminating the advantages of streaming digital content to the guestroom.
• Hotel owners expressed frustration with the lack of technical innovation in legacy analog systems as well as the weak financial returns these systems generated for their hotels.
• Coaxial networks frequently require costly maintenance and support.

The NxTV System is clearly differentiated from legacy analog systems by its IP-over-Ethernet technology platform, providing hotel owners with the following benefits:

"The NxTV technology was built from the beginning for the IP platform. For us, that means better / faster installation and fewer software problems, easier integration to other software programs, and the ability to quickly add additional services."

-  James E. Bina, CHAE CHTP President Millennium Technology Group, Inc.

• A broadband bi-directional network providing 100% digital connectivity to each guest room, delivering perfect picture quality and superior network performance.
• A single IP network offering a full suite of services, including voice, video and data "triple play".
• Dedicated digital bandwidth to each guestroom ensures that all services - from hit Hollywood movies to high speed Internet access to VoIP telephone service - are available on demand at all times.
• A "future proof" technology solution. With an IP-addressable set top box in every guestroom, the NxTV System is linked to the Internet 24/7 and is always ready to integrate new applications. These updates are implemented remotely, via the IP-over-Ethernet network, so they are seamless and completely transparent to hotel staff and guests.
• A proven network infrastructure renowned for its reliability, and requiring minimal maintenance and support.

Leveraging the strengths of its IP-over-Ethernet architecture, the NxTV System overcomes all of the weaknesses associated with analog coaxial networks. We offer hoteliers an end-to-end network application that provides a superior guest experience and delivers superior revenue performance, resulting in a greatly improved financial return.