IIJ to Establish New Print-On-Demand Company

NEW YORK, March 11, 2008 (PRIME NEWSWIRE) -- Internet Initiative Japan Inc.
(IIJ) (Nasdaq:IIJI) (TSE1: 3774), one of Japan's leading Internet access and
comprehensive network solutions providers, today announced it will establish
On-Demand Solutions Inc., as a 100%-owned subsidiary providing on-demand
printing services primarily to companies in the financial industry. Mr. Mitsuru
Koike, a senior councilor with Nomura Research Institute, Ltd., (NRI) (TSE1:
4307) will serve as president of the new venture.

With the enactment of the Financial Products Exchange Law, the financial
industry as a whole is bolstering its customer service efforts, and the casualty
insurance industry especially is confronted with the need to strictly enforce
compliance. From the viewpoint of compliance, they must use standardized product
pamphlets, contracts, and other documents at their branches and agencies, and
thus there is a growing need to build an effective document management system.
There is also a need to drastically reduce the cost of distribution of these
materials.

The On-Demand Solutions platform consists of a network of digital multifunction
printers located at the branches and agencies that can access documents saved at
the On-Demand Solutions datacenter and print them on demand. This platform
enables centralized management of documents at the datacenter and quick
distribution of new documents to all branches and agencies. It also dramatically
reduces the printing, distribution, and storage costs typically associated with
revising documentation, and it also reduces the cost of disposing of the old
documents.

Leveraging IIJ's expertise with network technology and its secure datacenter
environment, the company plans to expand beyond on-demand printing to serve a
wide range of business needs including value-added printing, and data storage
and search capabilities via the digital multifunction printers.

With the addition of On-Demand Solutions to the IIJ Group as a 100%-owned
subsidiary, we are strengthening our service platform in the financial industry
and taking advantage of the rapidly expanding SaaS business. The effects of this
move on the consolidated results for the year ending March 31, 2009, are
expected to be very slight.

-- On-Demand Solutions

1. Name On-Demand Solutions Incorporated
2. Start of operations April 1, 2008
3. Headquarters Jinbocho Mitsui Bldg., 1-105 Kanda
Jimbo-cho, Chiyoda-ku, Tokyo
4. Capital and Reserves JPY 130, 000,000
5. Shareholders IIJ 100%
6. Business fields Print on demand and related services
7. Board members Mitsuru Koike, President and
Representative Director
(Planned. Currently a senior councilor for
Nomura Research Institute, Ltd.)
Hideshi Hojo, Director
(Senior Managing Director, Director
of Sales Division, IIJ )
Kyoji Kanda, Director (Manager of IIJ
Sales Division)
Akihisa Watai, Statutory Auditor (Director
and CFO of IIJ)
About IIJ

Founded in 1992, Internet Initiative Japan Inc. (IIJ) (Nasdaq:IIJI) (Tokyo Stock
Exchange TSE1: 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
First Section of the Tokyo Stock Exchange in 2006. For more information about
IIJ, visit the IIJ Web site at www.iij.ad.jp/en/.

The Internet Initiative Japan Inc. logo is available here

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.

This was released in Tokyo on March 12, 2008.

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CONTACT: IIJ Corporate Communications
+81-3-5259-6310
press@iij.ad.jp
www.iij.ad.jp/