Cisco has bought on-demand video software company Arroyo Video Systems for $92 million.

The buy is Cisco's second so far this month, having taken a majority stake in data centre company Nuovo Systems on 10 August.

Arroyo will give Cisco a greater range for video-on-demand, which allows users of traditional cable television and IPTV to purchase, and watch content such as music videos, television shows, and feature films, at the place and time of their choosing.

Arroyo's software will be integrated with set-top boxes and equipment from Cisco's earlier purchase of Scientific-Atlanta, valued at $7 billion, which was announced in November, and closed in February this year. Scientific-Atlanta was one of the world's largest producers of set-top boxes.

Arroyo will become part of Cisco Cable & Video Initiatives Group.