IIJ Announces Expansion of Matsue Data Center Park

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TOKYO-February 7, 2013-Internet Initiative Japan Inc. (IIJ, NASDAQ: IIJI, TSE1: 3774), one of Japan's leading Internet access and comprehensive network solutions providers, today announced its decision to double the size of the Matsue Data Center Park, Japan's first data center with outside-air cooled container units established in April 2011. Construction will begin in April 2013. IIJ originally constructed the Matsue Data Center as a facility for the IIJ GIO cloud service, but the consistent increase in the number of clients using the service and forecasts for future cloud demand led IIJ to decide to expand the facility. As part of this project, IIJ is also adding new space for housing and operating the customer's servers and other IT equipment.

The newly constructed facilities are expected to be in operation this autumn. Current container capacity is 24 units, but this will be increased to 48, with new containers added to keep up with growing demand. Power facilities will also be doubled. Each container is powered using a three-phase four-wire configuration-instead of the customary three-wire configuration-reducing the number of transformers required for IT equipment power, and thus reducing distribution loss. In addition, a relatively higher density servers means lower capital costs and more efficient use of space, and we are currently examining year-round use of outside-air cooling as part of our goal to reduce energy consumption and create the most environmentally friendly data center possible.

The new housing space is intended to meet the demand for backup sites in western Japan as part of disaster recovery plans and business continuity planning. The Matsue Data Center has a very low probable maximum loss (PML) of 1.2%-which represents the probable replacement costs incurred due to earthquakes over the next 500 years-and this means that clients can store their own equipment for connecting to the IIJ GIO Service in an environment with minimal-disaster-risk.

IIJ will continue to develop the most advanced data centers to meet the high-demand for cloud services and the need for cloud-friendly housing.

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.

For inquiries, contact

IIJ Corporate Communications

• +81-3-5259-6310
• +81-3-5259-6311
• press@iij.ad.jp