ITOCHU Techno-Solutions Corporation (hereinafter, "CTC"; headquarters: Chiyoda-ku, Tokyo; President and CEO: Yoichi Okuda) has decided to construct a new, large-scale data center housing 1,000 cabinets in Bunkyo-ku, Tokyo, within FY2008.

The growing sophistication of technologies for distributing audio and video content over the Internet is driving increases in data volumes and the number of servers needed. In addition, growing security needs and ongoing business expansion are prompting enhanced information system safety measures. Against this backdrop, data center demand is expanding on a daily basis. Located within the section of the Tokyo encircled by the Yamanote train line, the center will be convenient for customers and less susceptible to flooding and salt erosion than centers situated nearer the ocean. We expect data center demand to continue increasing.

The decision to build this center was based on growing customer demand for in centers with these external environmental features and rising demands for floor space. Within FY2008, the Company will construct a center in Bunkyo-ku, Tokyo, that is able to handle 1,000 cabinets and has 5,800m² of floor space. The new facility will be the largest specialized data center facility within the Yamanote line.

In addition to satisfying the site conditions for a data center, the center will feature a highly reliable system for electricity reception and distribution, allowing the use of high-efficiency, low-consumption direct current power. The center will also employ a heat exhaust system optimized for the building's characteristics and a highly efficient air conditioning system that is among the top in its class. The result will be an environmentally conscious green data center. As part of our aggressive environmental efforts, we have formally joined Green Grid, a nonprofit organization established by IT companies to encourage the creation of more energy-efficient data centers.

This center will be CTC's third data center in the Tokyo metropolitan area, following those located in Otemachi and Shibuya. Drawing on its business experience of managing data centers, which includes centers located on the outskirts of Yokohama and Kobe, we will be able to offer a range of services that is balanced in terms of scale, quality, convenience and reliability, meeting a broad range of customer needs. We are positioning future centers located in urban areas as our main centers, which will serve as the integrated base of operations tying together existing centers. We expect overall investment to amount to several billion yen.

CTC has established a medium- to long-term strategy that includes investment of ¥15-20 billion over the next five years in the data center business. In addition to Tokyo centers, these plans call for the expansion of centers located on the outskirts of such cities as Yokohama and Kobe.

At the same time, CTC has created the concept of the TechnoExchange-a location where customers, CTC and its business partners can meet to share leading-edge technology, collaborate and create new business value. In this manner, in the future CTC plans to extend the concept of stand-alone data center business to reinforce its business infrastructure and develop business that supports customers throughout the IT lifecycle.

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