iWeb Group Inc. (TSXV:IWB) announces the opening of a state-of-the-art data center on the island of Montreal following a 88 % growth in 2005. The data center will be located in a building newly acquired by iWeb in Saint-Leonard’s industrial park.

This 15,000 square foot building is located in a 37,000 area that has a potential for expansion. The data center will occupy approximately 90 % of the new building’s total area. Not only the new data center will help satisfy the ever-growing requirements of actual and future clients, but this second site makes it possible for iWeb to offer some services linked to geographic redundancy back up.This is the second building acquired by iWeb in less that 2 years. As a result, iWeb’s premises will total more than 25,000 square foot and when complete could host almost 20,000 servers.

The first phase of this new data center includes the installation of the first group of servers for June 2006. This phase involves an initial investment of more than 1,5 million dollars and allows acquiring the building, improving security, installing the networks, and upgrading electrical capacity and air conditioning systems. The first phase is supported by the Business Development Bank of Canada for an amount of $ 1,525,000. “Our plan is to divide the installation process in 3 yearly phases. The overall project will cost approximately 15 million dollars but once the final installation is up and running at full capacity, combined revenues of the two data centers will generate up to 42 million dollars annually. In addition, the new data center should generate close to 100 jobs in the next 5 years without any government assistance.”, states Eric Chouinard, President and CEO of iWeb.

“In less than 2 years, we have exceeded all our goals and we are now using close to 90 % of our new data center’s 5,000 square foot area. Our services stand out because our data centers are well located and also because iWeb packages include technical characteristics that clients appreciate. This new center is critical in supporting iWeb with its remarkable expansion. It is also a key element in consolidating our leading position in the dedicated server Web hosting market.”, says Martin Leclair, Director of operations of iWeb.

About iWeb Group Inc.

Founded in 1996 in Montreal, iWeb is one of the leading Web hosting companies in Canada in terms of hosted domains. iWeb is today the prominent provider of services related to dedicated servers. iWeb offers a wide range of high-quality Web hosting solutions in English, French and Spanish. Clients in 94 countries around the world rely on iWeb for their hosting needs.

iWeb Group Inc. is listed on the TSX Venture Exchange Inc. under the IWB stock symbol. For more information, visit the Company's website at investors.iweb.ca.