News Release

June 15, 2000

Launch of Full-scale "FLET'S・Isdn" ISDN-based IP Connection Service: Expansion of Areas Covered and Introduction of "FLET'S・Office" Service

In November 1999, NTT East and NTT West launched an ISDN-based, flat-rate IP connection service on a limited, trial basis. Given that this service has been running quite smoothly, and in view of the growth in popular demand that it be made available in other districts around the country, today (June 15, 2000) we submitted applications for approval of contract provisions and a fee schedule to the Minister of Posts and Telecommunications.

(i) full-scale, regionally expanded provision of the ISDN-based "FLET'S・Isdn" IP connection service

(ii) provision of a new "FLET'S・Office" service that allows corporate customers to build their own private networks in combination with " FLET'S・Isdn "service.

With the initiation of full-scale operations, "FLET'S" (see note below) will be adopted as the common Japanese market name for this service provided through its regional IP networks.

Note: "FLET'S" combines the letter "F" with the word "let's" (from the "Let's IP Service" marketing slogan). The "F" symbolizes key benefits the new service is intended to provide: flat rates, friendly Internet access, and a flexible environment.

1. Wide-area Initiation of Full-scale FLET'S・Isdn Service

(1) Full-scale service
The trial service will continue to be offered in its original format, albeit on a full scale. This will be the Type-1 variant of the new service (4,500 yen monthly usage charge). Please see the Reference sheet for further details.

Note: Customers currently signed up for the trial service will be able to utilize the new, full-scale service under the same terms and conditions.

(2) Service launch schedule
Following approval, full-scale service will be initiated on the following dates (tentative).

NTT East: July 17, 2000
NTT West: July 7, 2000

(3) Expansion of service area
Service will be extended to the areas listed in Supplement 1 during the second (July-September) quarter of fiscal 2000. Service expansion plans for the third and fourth quarters will be posted at a later date.

(4) Schedules for acceptance of subscriber applications in new service areas
Applications from subscribers residing in new service areas will be accepted once service is launched in those areas. Specific schedules are listed in Supplement 2.

(5) Other details
The Type-2 variant (2,900 yen monthly usage charge) of the new service will be provided on a continued trial basis in the same areas covered by the new FLET'S・Isdn service.

2. Initiation of FLET'S・Office Service

(1) Service overview
FLET'S・Office will connect corporate and other private networks into the regional IP networks run by NTT East and NTT West. This will allow FLET'S・Isdn subscribers to access corporate intranets located within their own prefecture. (See diagram below.)

Two types of connections will be available for utilization of this service: leased-line connections, and Ethernet-type (standard LAN interface) connections in the offices of NTT East or NTT West.

FLET'S・Office subscribers who also utilize the value-added features of the optional Group plan will be able to connect with individual FLET'S・Isdn subscribers that they register in advance.

(2) Service features
FLET'S・Office will enable corporate subscribers to build their own private networks at low cost. For no extra charge, FLET'S・I subscribers may access the private networks of FLET'S・Office subscribers. Additionally, they may select their destination network connection (ISPs or intranets) whenever they make a call.

(3) Connection Diagrams

(i) For basic service

For basic service

(ii) For service with optional Group plan

For service with optional Group plan

(4) Service terms and conditions

(i) Service categories

Service categories

(ii) Contract units

One contract per subscriber line

(5) Service charges

(i) Monthly charges for basic service

Monthly charges for basic service

1. Depending on the type of connection, subscribers may also be assessed an additional charge for the use of line-end terminal equipment.
2. No line-by-line monitoring for system malfunctions is provided with the economy-class service package.
3. A separate equipment housing-related contract is necessary for utilization of this service.

(ii) Monthly charges for optional service

Category Monthly usage
Group option Plan 1 Up to 100 subscriber numbers may be registered. 3,000 yen
Plan 2 Up to 300 subscriber numbers may be registered. 5,000 yen
Plan 3 Up to 1,000 subscriber numbers may be registered. 10,000 yen

(iii) Other charges

Separate installation and engineering charges will also be assessed.

(6) Areas to be covered by new service

(i) Leased-line connections
Prefectures covered by the FLET'S・I service

(ii) Ethernet connections
Designated NTT East or NTT West offices in prefectures covered by the FLET'S・I service

(7) Service launch schedule
Following approval, service will be initiated on the following date (tentative).

July 17, 2000

Supplement 1-1
NTT East Service Areas
Supplement 1-2
NTT West Service Areas
Supplement 2-1
NTT East Schedule for Acceptance of FLET'S・I Services Applications
Supplement 2-2
NTT West Schedule for Acceptance of FLET'S・I Services Applications
An Outline of the ISDN-based FLET'S・I sdn IP Connection Service

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