IIJ Expands Access Lines for IIJ Internet-LAN Service; Service Now Compatible with ACCA ADSL to Provide the Cheapest Redundantly-Configured Broadband Ethernet WAN in Japan.

TOKYO -- Internet Initiative Japan, Inc. (IIJ, NASDAQ:IIJI, TSE Mothers:3774), one of Japan's leading Internet access and comprehensive network solutions providers, today announced it will expand access to its IIJ Internet-LAN Service by introducing compatibility with the ADSL service offered by ACCA Networks Co., Ltd. (ACCA) as well as all of the dedicated line services available from other carriers as of June 14, 2006.

IIJ Internet-LAN Service provides a dedicated, virtual Ethernet space by using IIJ's Internet backbone to create a secure private network environment that connects offices nationwide, much like a traditional corporate LAN would. Customers can use ADSL or FTTH connections to access this service to construct easy-to-use, low-cost broadband Ethernet WAN environments.

Until now IIJ Internet-LAN Service has relied on connections using the FLET'S offered by both NTT East and NTT West and the Hikari Broadband services offered regional electric power company. Adding compatibility with ACCA ADSL and dedicated lines from other carriers to this lineup provides several advantages.

--  The cheapest redundantly-configured broadband Ethernet WAN
    available in Japan

    Use of multiple carriers enables IIJ to implement the cheapest
    redundantly configured broadband Ethernet WAN network in Japan.

    Users are able to combine B FLET'S and ADSL connections for
    redundant access to IIJ Internet-LAN Service for approximately
    half the price(*1) of combining IIJ Internet-LAN Service with a
    broadband Ethernet WAN service from another company.

(*1) According to IIJ calculations where B FLETS is connected to the
     IIJ Internet-LAN service, and ACCA ADSL is connected to the
     Ethernet service of another company in a redundant configuration.

--  A reliable broadband Ethernet WAN

    In response to customer policies, IIJ uses dedicated access lines
    to achieve a highly reliable broadband Ethernet WAN.

    A low-cost yet highly reliable broadband WAN environment can be
    created by using a dedicated line as the central line connecting
    the customer's internal systems to IIJ (hub connection), and using
    low-cost broadband access lines in other locations across the
    country (port connections).

IIJ has plans to expand access to IIJ Internet-LAN Service within the year, including compatibility with Yahoo Japan Corporation's Yahoo!BB service and Internet services provided by cable networks nationwide.

IIJ will continue to develop its lineup of high-quality network services to cater to a broad range of customer needs.

IIJ Internet-LAN Service Features

--By using the SMF system, which enables centralized management of all aspects of the network--from connection settings to operations and maintenance--customers can construct a broadband Ethernet WAN by connecting IIJ's proprietary SEIL router as a service adapter.

--Usable over low-cost broadband access lines

--A virtual Layer-2 network implemented using L2TPv3(*2) protocols on SEIL routers.

--L2TPv3, IPsec encrypted communications and IIJ's proprietary SMF technology ensure high security.

--Traffic monitoring and e-mail failure notices are standard.

--Equipment replacement within two hours by Service Driver

(*2) L2TPv3 (Layer 2 Tunneling Protocol Version 3): A protocol used to
     create a virtual tunnel over public networks, such as the
     Internet, and thus build a VPN. This protocol enables the
     tunneling of Layer 2 frames over an IP network.

IIJ Internet-LAN Service Fees (subject to change)

Product        Compatible Access Line    Initial Fee Monthly Fees
----------------------------------------------------------------------
               FLET's, ADSL (NTT East and West)
    Type DSL   ACCA ADSL (ACCA Networks)                  26,500 yen
    -----------------------------------------            -------------
Hub            B-FLET's (NTT East and West)   80,000 yen
               BBIQ (Kyushu Telecommunication
    Type FA     Network)                                  38,500 yen
               Commufa (Chubu Telecommunications)
    -----------------------------------------            -------------
    Type Other IIJ Internet Connection                    25,500 yen
                Service, etc.
----------------------------------------------------------------------
               FLET's, ADSL (NTT East and West)
    Type DSL   ACCA ADSL (ACCA Networks)                  14,000 yen
    -----------------------------------------            -------------
Port           B-FLET's (NTT East and West)   40,000 yen
               BBIQ (Kyushu Telecommunication
    Type FA     Network)                                  26,000 yen
               Commufa (Chubu Telecommunications)
    -----------------------------------------            -------------
    Type Other IIJ Internet Connection                    13,000 yen
                Service, etc.
----------------------------------------------------------------------

* A separate contract is required for the Hub (which acts as the
  customer's network center) and the Port (located at the remote
  locations), for each type of access line.

* Access line costs are not included. Prices shown do not include tax.

* ADSL service will be provided by IIJ when selecting ACCA as the ADSL
  carrier. The set up cost is 75,000 yen and the monthly charge is
  5,000 yen.

About IIJ

Founded in 1992, Internet Initiative Japan Inc. (IIJ, NASDAQ:IIJI, Tokyo Stock Exchange Mothers:3774) is one of Japan's leading Internet-access and comprehensive network solutions providers. IIJ and its group of companies provide total network solutions that mainly cater to high-end corporate customers. The company's services include high-quality systems integration and security services, Internet access, hosting/housing, and content design. Moreover, the company has built one of the largest Internet backbone networks in Japan, and between Japan and the United States. IIJ was listed on NASDAQ in 1999 and on the Mothers market of Tokyo Stock Exchange in 2005. For more information about IIJ, visit the IIJ Web site at http://www.iij.ad.jp/en/.

The statements within this release contain forward-looking statements about our future plans that involve risk and uncertainty. These statements may differ materially from actual future events or results. Readers are referred to the documents furnished by Internet Initiative Japan Inc. with the SEC, specifically the most recent reports on Forms 20-F and 6-K, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements.