KDDI Corporation

September 24, 2008

KDDI is pleased to announce that on October 1 it will start accepting applications for and introduce 'HIKARI-one Home,' high speed fiber optic broadband Internet service with a maximum upload and download speed of 1Gbps (1,000Mbps) [1] at a low price equivalent to that for ADSL. This 1Gbps Internet service for residences will be the first such service to be offered in eastern Japan [2].

Conditioned on a two year contract, the 'Giga Value Plan' is the least expensive plan in the industry [2] with a basic fee of 5,460 yen [3] a month for Internet service or 5,985 yen [3] a month for both Internet and phone service.

'HIKARI-one Home,' a broadband service that combines three services -Internet, phone, and TV- is available for detached homes and small apartment complexes [4]. Substantially faster than the uploading and downloading speed of 100Mbps [1] for traditional Internet connections and with a lower cost, the new 'Giga Value Plan' allows users and enhance comfort in using the Internet and downloading video content and music.

With the launch of 'Giga Value Plan,' KDDI is providing a more advanced Giga Home Gateway, which provides not only high speed communication - up to 1Gbps - but also possesses wireless LAN functions and a USB port. Therefore the gateway provides various conveniences such as being able to connect game machines and network compatible AV equipment and to easily share data files with family members using handy USB memory. In addition, the device is environment friendly with a low-power mode.

KDDI will also expand the area in which the 'HIKARI one Home' service is available in and launch service and accept new applications for the 'Giga Value Plan' in both the Kanto area and Hokkaido on October 1.

• [1] This service is a best offer service. The speed given above is the technical maximum speed, not the actual speed when used. The actual speed may fall substantially short of the maximum for various reasons including the connection conditions and the user's computing environment, such as computer.
• [2] Based on an examination by KDDI, the comparison is for the FTTH service for home use with a maximum speed of 1Gbps and as of September 24, 2008.
• [3] This is assuming that the Internet provider is au one net, and fees are based on a bank transfer/credit card discount.
• [4] As a general rule, the service is limited to buildings with three stories or less in the Kanto area and to buildings with two stories or less in Hokkaido.