New facility will enable Company to diversify revenue stream and broaden customer baseiWeb Group Inc., a worldwide internet hosting infrastructure provider,  announced on Tuesday its plans to open an 850 cabinet equivalent co-location data center in Montreal. Scheduled to open in December 2007, this facility ill be the Company’s third data center in Montreal.

“A fundamental component of our strategy is to grow the co-location segment of our business,” said Eric Chouinard, President and Chief Executive Officer of iWeb. “The cumulative co-location hosting capacity of our two current data centers has always been limited, as they are both primarily dedicated server hosting facilities. The addition of this strictly co-location hosting data center will enable us to diversify our revenue base, extend our footprint in the Montreal marketplace and target a broader customer base.”

Like iWeb’s existing two data centers, the new 22,700-square-foot facility will be equipped with uninterruptible power supplies, emergency diesel back-up generators and power equivalent cooling, but with all these systems reaching the N+1 level of redundancy in this case. The facility will be protected by a sophisticated, multi-layer security system that includes video surveillance, secured access, and biometric identification sensors. In addition, customers of the new data center will benefit from iWeb’s complete suite of value-added services, such as 24-hour emergency technical support, ping monitoring and managed security back-ups.

The facility was previously used as a data center. As such, the basic infrastructure necessary to operate a co-location hosting data center is already installed. During the following months, iWeb will work to upgrade the facility to meet the Company’s stringent operational standards. iWeb has entered into a lease agreement for up to 30 years, and has options to purchase the building at regular time intervals.

Founded in 1996, iWeb offers a full line of advanced IP hosting services either through shared hosting, dedicated servers or co-location now in three data centers, featuring over 52,000 square feet of floor space and the latest technological equipment. iWeb provides services in English, French and Spanish to clients in more than 130 countries. For more information, please visit www.sedar.com or the Company’s website at http://iWeb8.com.