TOKYO, JAPAN - NTT Communications (NTT Com) announced today that it has signed a memorandum of understanding (MOU), with ITOCHU Corporation, On Demand TV, Inc., SKY Perfect Communications Inc. and Plala Networks Inc., with the intention of collaborating in the fields of high-definition broadcasting, high-quality video distribution and related services.

Specifically, the envisioned services cover three basic areas:

1. High-definition, high-quality, multi-channel broadcasting, packaged in services offering unlimited-viewing of video on demand (VOD) and discounts for multiple contracts in one household: Upon receiving approval from broadcasting companies to retransmit digital terrestrial television (DTT) content over IP networks, the group expects to launch retransmission services in the Tokyo and Osaka markets and expand to other regional markets gradually, in conjunction with the NTT Group's deployment of next-generation network (NGN) services.
   
   
2. Video distribution services that have been provided by NTT Com's OCN Theater service and On Demand TV will be shifted to Plala Networks, slated to start next March in conjunction with the launch of NGN services. Users of the current services will be advised to shift to the new service.
   
   
3. Opportunities to collaborate with Sky Perfect Communications in high-definition broadcasting services will be explored. I-Cast, Inc. and On-line TV Co., Ltd. are considering to consolidate their multi-channel broadcasting services.

About NTT Com
NTT Communications Corporation (NTT Com) provides information and communications technology (ICT) solutions worldwide with dedicated professionals stationed in 21 countries. Renowned as an IPv6 technology pioneer and managed service expert, NTT Com offers diverse high-quality IP, Web-based, and managed network solutions combining network management, security, ubiquitous, Web portals/engines, and global services. Its world-class Tier 1 Internet backbone and secure closed networks with over 98,000 MPLS ports, combined with the networks of partner companies around the world, connect more than 200 countries. The company earned non-consolidated revenues exceeding one trillion yen (about US$10 billion) in fiscal 2006 ended March 31, 2007. NTT Com started as a long-distance phone company in 1999 after the reorganization of the NTT Group, and is the wholly-owned subsidiary of NTT, one of the world's largest telecommunications companies. NTT is listed in Japan, London and New York stock exchanges. Please visit www.ntt.com.