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Prodigy MSN Selects VitalStream to Deliver Video to Latin America's Online Community.


Gathers Valuable Data with VitalStream's Unique Reporting Tools to Best Serve Its Global Audience

COSTA MESA Costa Mesa (kŏs`tə mā`sə), city (1990 pop. 96,357), Orange co., S Calif., on the Pacific south of Santa Ana; inc. 1953. It is a transportation, residential, and light industrial center. , Calif. -- VitalStream, Inc. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
:VSTH), a leader in online content delivery and monetization, announced it has signed a contract to provide streaming media See streaming audio, streaming video and digital media hub.  services to Prodigy MSN (1) (MicroSoft Network) A family of Internet-based services from Microsoft, which includes a search engine, e-mail (Hotmail), instant messaging (Windows Live Messaging) and a general-purpose portal with news, information and shopping (MSN Directory). , a joint venture between Microsoft Mexico and Telmex.

Selected especially for the proven scalability of its high-bandwidth media delivery network and comprehensive reporting tools, VitalStream enables fast downloads of Prodigy MSN's (http://prodigy.msn.com) online, Spanish-language video and news content.

Prodigy MSN is Latin America's leading provider of email (Prodigy/MSN Hotmail), instant messaging Exchanging text messages in real time between two or more people logged into a particular instant messaging (IM) service. Instant messaging is more interactive than e-mail because messages are sent immediately, whereas e-mail messages can be queued up in a mail server for seconds or  (Windows Live Messenger Microsoft's instant messaging (IM) service, which provides text messaging, voice calling, file sharing and video phoning. Windows Live Messenger combines the previous MSN Messenger and Windows Messenger clients into one system under the Windows Live umbrella.  en Prodigy/MSN) and blogging services (Windows Live Spaces A social networking site from Microsoft that enables users to share personal information and photos and write a blog. It also includes an event planner that invites guests. Windows Live Writer is a desktop word processing application that publishes directly to Windows Live Spaces,  en Prodigy/MSN).

VitalStream's MediaConsole[R], its workflow management toolset, integrates with all streaming formats. A 'media manager' feature offers real-time reporting tools that enable the service provider to track and analyze data on its videos, including precisely which users are accessing content and the duration of their viewing sessions. This data illustrates where an audience is concentrated and provides insight into visitors' viewing habits to give Prodigy MSN better intelligence on how to best deliver and monetize the audio and video it delivers.

To accelerate Prodigy MSN's application development, VitalStream will provide its library of streaming software and tools, empowering the site's developers to quickly and easily implement their online media streaming projects.

"With our user-base growing aggressively, we see online video as the best way to attract visitors and keep them on our Web pages," said Miguel Alegre, Prodigy MSN's editor-in-chief. "VitalStream has a proven track record in providing excellent customer care. The company impressed us with its reliable, secure streaming services, enabling Prodigy/MSN to deliver and monetize rich, attractive, interesting media content to the 20 million Internet users in Mexico."

"As a leading service provider, Prodigy MSN is the ideal candidate for high-quality content delivery and we're thrilled to be selected as its streaming media provider," said Jack Waterman, VitalStream's CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "Over 90 percent of Prodigy MSN's audience is outside of the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , which is testament to the fact that VitalStream is a top-choice content delivery network for organizations looking to successfully serve global audiences with online, on-demand content."

About VitalStream, Inc.

VitalStream, Inc., a wholly owned subsidiary Wholly Owned Subsidiary

A subsidiary whose parent company owns 100% of its common stock.

Notes:
In other words, the parent company owns the company outright and there are no minority owners.
 of VitalStream Holdings, Inc. (Nasdaq:VSTH), is a global provider of integrated content delivery services See CDN.  that enable businesses to broadcast digital media and communications to worldwide audiences via the Internet. The company provides complete solutions, including video and audio streaming, advertising placement, delivery, reporting and analysis, live event broadcasting, media asset management, integrated Web hosting and consulting services, that seamlessly integrate with today's leading streaming media technologies. To ensure a worldwide reach, VitalStream engineered its award-winning content delivery network certified for quality delivery in the United States, Europe and Asia. For more information, visit www.vitalstream.com.

Forward-Looking Statements

This news release contains forward-looking statements made in reliance upon the safe harbor Safe Harbor

1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated.

2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive.
 provision of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may differ materially from those indicated by these statements. Forward-looking statements may include statements addressing future financial and operational results of the company. The following factors, among others, could cause actual results to differ materially from those described in any forward-looking statements: we may be unable to keep up with evolving industry standards and changing user needs; the risk that we may experience technical or security problems that injure our business or increase our operating costs; we may become subject to risks associated with international operations; and/or uncertainties regarding our ability to pursue our proposed business strategy. More detailed information about these factors and others are discussed in "Risk Factors," and elsewhere in the most recently filed Annual Report on Form 10-K Form 10-K

A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information.


Form 10-K

See 10-K.
 of VitalStream Holdings, Inc., and other documents periodically filed by VitalStream Holdings, Inc. with the SEC. Such forward-looking statements speak only as of the date of this release. The company is under no obligation and expressly disclaims any obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

VitalStream and MediaConsole are registered trademarks of wholly owned subsidiaries of VitalStream Holdings, Inc. All other names and marks are property of their respective holders.
COPYRIGHT 2006 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Nov 7, 2006
Words:712
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