Your "stream1" is a rtsp url, and I thought you indicated that played in VLC. That rtsp link is what you should put in a .stream file and try to start in StreamManager with MediaCaster type "rtp", following that IP guide
HTTPStreamerAdapterSanJoseStreamer.service: Request timeout indicates that there was
no stream connection within timeout value. And suggests to
check live source and encoder.
And this one
LiveMediaStreamReceiver.doWatchdog: streamTimeout: Resetting connection is triggered by
Wowza being unable to connect to a MediaCaster stream. It could be a problem with the network or a problem with the source. For example, the camera was reached, but rejected the connection.
Wowza Media Server will continue trying to reconnect until the stream is available again.
So it looks like the problem is in the communication between dreambox and wowza.
I think some more information on what you are trying to do and what set up you are using would be helpful