IIJ and IIJ-MC to Broadcast Live High Quality DV for CATV Using DV-over-IP Technology; Live Broadcast from the Space Shuttle after July 14 Launch

Business Wire, July 13, 2005

TOKYO -- Internet Initiative Japan Inc. (IIJ, NASDAQ: IIJI), one of Japan's leading Internet access and comprehensive network solutions providers, today announced that IIJ and IIJ Media Communications Inc. (IIJ-MC), its 60.1% owned subsidiary, will provide a live high quality digital video (DV) broadcast of the space shuttle Discovery launch for cable television (CATV) in various parts of Japan using DV-over-IP technology, which enables the broadcasting of DV signals over the Internet without compression.

This broadcast will feature live video from the space shuttle Discovery (*1) launch that is scheduled for 4:51 AM on July 14, 2005, Japan Standard Time, from the NASA Kennedy Space Center in the U.S. In contrast to conventional streaming technology, this new technology delivers crisp and vivid live graphics because the video data is not compressed before being broadcast over Internet.

This live video will be fed to CATV broadcasters Asahikawa Cable Television Co., Ltd. in Asahikawa, Hokkaido, and LCV Corporation in Suwa City, Nagano, as well as to the Okayama Information Highway in Okayama, enabling cable TV viewers to watch the broadcast as a part of their regular programming on a CATV channel.

The signal quality of this broadcast will be monitored and evaluated using a system that was developed by the IIJ Group. DV-over-IP technology is attracting a lot of attention as conventional broadcasting and communication systems begin to merge. Although DV-over-IP enables continuous video transmission, no method of monitoring quality had been previously established. By monitoring both network conditions and the application status using the advanced network management technology of the IIJ Group, we will monitor the quality of the high quality DV broadcasts and thus enhance the level of service.

The IIJ Group will continue to provide advanced network environments for a broad range of users, raise the quality of the Internet, and help it spread.

(*1) This space shuttle mission (the STS-114 mission) is the first
        flight since the space shuttle Columbia accident in February
        2003, and with Japanese astronaut Soichi Noguchi also
        scheduled to make a space walk on this mission, it will be
        watched by the world. For details of the STS-114 Mission, see
        the website of the Japan Aerospace Exploration Agency at
        http://sts-114.jaxa.jp/.

About IIJ-MC

IIJ Media Communications Inc. (IIJ-MC) was established by IIJ, Sumitomo Corp., Itochu Corp., and other shareholders to offer expert services in web-media content creation and communications over the Internet. Its core business provides total support for customers' content and systems, particularly those customers who engage in e-commerce and other related activities. IIJ-MC engages in the research and development of the newest technologies for media communications, such as streaming technologies including multicast and portal service applications, and incorporates the technologies into various applications.

About IIJ

Founded in 1992, Internet Initiative Japan Inc. (IIJ, NASDAQ: IIJI) is one of Japan's leading Internet-access and comprehensive network solutions providers. The company has built one of the largest Internet backbone networks in Japan, and between Japan and the United States. 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.

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.