Arkados Powerline Communication Solutions Change the Game for Multi-Room Audio at EHX 2009

Arkados provides the chips and software for new multi-room audio systems that change the home audio landscape and open new markets for CEDIA installers

Orlando, FL -- March 11, 2009 - Arkados (OTCBB: AKDS) is pleased to announce that two new multi-room audio systems, NuVo's Renovia and Russound's Collage, are nearing release and on display at Electronic House Expo 2009 in Orlando, Florida. Arkados chips incorporate HomePlug® powerline communications technology (PLC) to enable these audio systems to distribute high-quality digital music through the existing electrical wires in a home without any additional, dedicated audio wiring.

In a recent article, Gary Altunian, About.com's online guide for stereos, proclaimed that "Powerline technology may be the future of multiroom audio,"[1] and based on the innovations being presented at EHX, that prediction is already taking shape.

Prominently displayed at EHX are systems from NuVo and Russound:
NuVo's Renovia system is a multi-source, multi-zone system offering reliable great-sounding audio without invasive and time-consuming installation.
Russound's Collage is a new powerline-based media and intercom system using PLC technology to distribute media throughout the home.

"In this challenging economy, powerline communications technology has the potential to be a real game-changer for the consumer electronics industry, homeowners and builders," said David Rodarte, president and chief operating officer of NuVo Technologies. "Through our collaboration with Arkados and its powerline solutions, we are developing solutions that will pioneer new markets for multi-room audio. With our upcoming Renovia system, homeowners will be able to upgrade their home entertainment experience without the architectural and aesthetic impact and inconvenience of traditional hard-wired multi-room audio solutions. Renovia will also enable builders to upgrade their unsold single-family homes and MDUs to include multi-room audio more easily and inexpensively than ever before."
The decline in new housing construction is forcing companies focused on Custom Electronic Design and Installation (CEDIA) markets to seek new revenue opportunities. Arkados' powerline communications solutions, based on HomePlug technologies, allow its CEDIA-focused customers to expand their market beyond new construction and target over 110 million existing homes in the United States. Products based on the Arkados platform leverage the existing power lines and can be installed without the need for long wire runs through walls and floors.

Michael Stein, Russound's Senior Director of Research & Technology commented, "HomePlug powerline technology allows Russound to re-invent the whole-house audio environment. Russound continues to explore new ways to expand our markets. Our new Collage media and intercom system employs Arkados HomePlug solutions to deliver innovative functionality, performance and elegance that is also very easy to use."

The Arkados whole-house audio platform uses HomePlug® Powerline communications, allowing manufacturers who cater to the custom installation market to create retrofit solutions after a very short design cycle.

"With HomePlug technology being used for the Smart Grid and Smart Energy markets, as well as for whole-house entertainment and internet connectivity, we expect these systems to converge and build upon each other, accelerating the market momentum," said Oleg Logvinov, president and CEO of Arkados, Inc. "This allows whole-house systems to incorporate energy displays that provide consumers with an easy way to control their energy consumption. Arkados is proud to be a part of this revolution in the connected home market. We believed in this market trend, and designed our chip and software solutions to provide the platform that accelerates the convergence of energy management and entertainment."

The EHX 2009 show runs today through March 14th.

About Arkados, Inc.
Arkados delivers a universal platform that provides high-speed communications over standard electricity lines for the smart grid, home networking, and networked entertainment markets. The company's system-on-chip and software solutions are uniquely designed to drive a wide variety of powerline-enabled consumer electronics and home computing products, such as stereos, radios, speakers, MP3 players, computers, televisions, gaming consoles, security cameras and cable and DSL modems. Arkados customers can bring numerous sophisticated, full-featured products to market faster at a lower overall development cost using a single platform: the company's versatile and programmable ArkTIC® platform. Arkados solutions leverage the benefits of HomePlug Powerline Alliance specifications and can also be used for in-building and to-the-home (BPL) applications. Arkados® and ArkTIC® are registered trademarks and Direct to Speaker and Whole House Audio in a Box are trademarks of Arkados Inc., a wholly owned subsidiary of the Arkados Group, Inc. HomePlug® is a registered trademark of the HomePlug Powerline Alliance, of which Arkados is a member. Other names and brands may be claimed as the property of others. More information can be found at http://www.arkados.com.


This release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934 that are based upon assumptions that in the future may prove not to have been accurate and are subject to significant risks and uncertainties, including statements as to the future performance of the company and the risks and uncertainties detailed from time to time in reports filed by the company with the Securities and Exchange Commission. Although the company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct. Factors that could cause results to differ include, but are not limited to, the company's ability to raise necessary financing, retention of key personnel, timely delivery of inventory from the company's contract manufacturers, timely product development, product acceptance, and the impact of competitive services and products, in addition to general economic risks and uncertainties.

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[1] ©2009 by Gary Altunian (http://stereos.about.com/od/reviewsandrecommendations/fr/Powerline.htm). Used with permission of About, Inc. which can be found online at www.about.com. All rights reserved.