November 10, 2017
To whom it may concern
TOKAI Holdings Corporation
Katsuhiko Tokita, President & CEO(Code No. 3167 Tokyo Stock Exchange First Section)

Supplement of Redundancy Solution Providing Connections to CloudConnection Service for Universities and Research Institutions-Proposal of a Disaster-Resistant Connection Method to Microsoft AzureConnection Service via SINETTOKAI Communications Corporation (hereinafter “TOKAI COM”), a wholly owned subsidiary of TOKAIHoldings Corporation, will launch a redundancy solution to customers who use the information andcommunication network (hereinafter “SINET”) used among universities and educational institutions. Thissolution is designed to provide redundant connections between Microsoft Azure, a cloud computing platform
provided by Microsoft Japan Co., Ltd., (hereinafter “Microsoft Japan”) and customer premises by using
different types of network paths.
Entrusted by Microsoft Japan, TOKAI COM developed a private network connection line between SINET
and Microsoft Azure in March 2017 by using its BroadLine Azure Connection Service. Combining with theconnection lines, TOKAI COM is now ready to launch a solution designed to provide redundant connection
with high level of fault tolerance that responds to the recent increasing needs of BCP (Business ContinuityPlan).
(Please refer to the attached materials for specific redundant connection methods and others.)
TOKAI COM will continue to contribute to business development of customers not only by providing cloudconnection services, but also by utilizing skills and know-hows nurtured as a system integrator over the years
as well as a one-stop total support in all the processes from introduction of cloud computing to its design,development and operation.
**

Microsoft and Microsoft Azure are registered trademarks or trademarks of Microsoft Corporation in the UnitedStates and other countries.
All other company names, product names, service names or logotypes mentioned are trademarks or registeredtrademarks of their respective companies.

Contact: Yoshihiro Taniguchi
Public Relations and Investor Relations Office
TEL: +81-(0)3-5404-2891
Email: overseas_IR@tokaigroup.co.jp

November 10, 2017
To whom it may concern
TOKAI Communications Corporation

Launch of Redundancy Solution Providing Connections to Microsoft Azure via SINET- Enhancing Cloud Usability and Connectivity for Universities and Research Institutions Using SINET TOKAI Communications Corporation (President & CEO: Katsuhiko Tokita; hereinafter “TOKAI COM”) will
start providing a redundancy solution to universities and research institutions that use the Science Information
NETwork (SINET), an academic information network operated by the National Institute of Informatics (NII),
beginning on November 10, 2017. The solution is designed to provide redundant connections between theirpremises and Microsoft Azure, a cloud computing platform operated by Microsoft Japan Co., Ltd. (hereinafter“Microsoft Japan”), via private network connection services that use different network paths.

1.
BackgroundIn light of the recent growing trend among universities and research institutions to use cloud services, TOKAICOM, entrusted by Microsoft Japan, developed a private network connection line between SINET and Microsoft
Azure on March 18, 2017 by using BroadLine Azure Connection Service. This connection line will enable
Microsoft Japan, the providing body of cloud connection service in SINET, to realize the launch of a virtual
network service to universities and research institutions, allowing them to connect private networks to Microsoft
Azure via SINET. TOKAI COM is also entrusted in the development and operation business of this service.
Inquiries have already been received by many customers relating to this service, with the first user, being thenational university corporation, starting its use from August 2017.
TOKAI COM has been looking into initiatives designed to help customers enhance their cloud usability andconnectivity by leveraging its existing services that allow private network connections to Microsoft Azure. As aresult, TOKAI COM is now ready to provide a new solution that enables redundant connections to Microsoft
Azure by combining its private network connection services that use different network paths and will start offering
the solution today.
2.
Outline of the Virtual Network Service for SINET and Microsoft Azure
TOKAI COM, entrusted by Microsoft Japan, has developed a broad-band private network between SINET andMicrosoft Azure by using the Azure Connection Service. Under this private network, virtual network is developed
independently to each customer including universities and research institutions using SINET, realizing privatenetwork connection with Microsoft Azure via SINET.
University A
University A’s system

Service infrastructureusing Azure
Connection Service

University B

University B’s system

Researchinstitution C

Science Information
NETwork (SINET)

Virtual Network Service for
SINET and Microsoft Azure

Research institution
C’s system

Connection speeds:
Service area:
Price:
Service launch:

50 Mbps, 100 Mbps, 200 Mbps, 500 Mbps, 1 Gbps, 2 Gbps, 5 Gbps, and 10 Gbps
Nationwide
Please make inquiry to Microsoft Japan (below contact ) *1､*2､*3
March 18, 2017

[Inquiries about the service]
Microsoft Japan Co., Ltd., Public Sector Operational Headquarters(E-Mail:mspsmktg@microsoft.com)*1 Development, operation, and collection of fees relating to the service will be conducted by TOKAI COM entrusted by Microsoft
Japan.
*2 Additional fees for Microsoft Azure (including ExpressRoute) will apply (based on a contract directly between the customer andMicrosoft Japan).
*3 An application for using SINET must be filed with NII.

3.

Outline of the redundancy solution
TOKAI COM has launched a redundancy solution (as described below) for universities and research

institutions that use SINET. The solution uses its Virtual Network Service for SINET and Microsoft Azure incombination with its existing BroadLine Azure Connection Service or VIC-VPN for Microsoft Azure, which isused as a backup line, to provide an optimal connection configuration suited to the customer’s use andenvironment.
[Model 1] Virtual Network Service for SINET and Microsoft Azure + Azure Connection Service
The combination of the Virtual Network Service for SINET and Microsoft Azure, which provides connections thatgo through SINET, and the Azure Connection Service, which provides connections that do not go through SINET,
enables the customer to set up a highly-available redundancy network.
[Model 2] Virtual Network Service for SINET and Microsoft Azure + VIC-VPN for Microsoft Azure
The combination of the Virtual Network Service for SINET and Microsoft Azure, which provides connections thatgo through SINET, and the VIC-VPN for Microsoft Azure, which provides connections that do not go through
SINET, enables the customer to set up a highly-available redundancy network. Unlike Model 1, Model 2 uses anInternet VPN service as a backup line to minimize cost.

4.

Solution models (a redundancy configuration combining a connection that goes through
SINET and a connection that does not go through SINET)

Model 1
• Relation Ethernet• Ethernet Dedicated Line

University A

Azure Connection Service

University A’s system

Service infrastructureusing AzureConnection Service
Model 2
Science Information
NETwork(SINET)

Researchinstitution B

Virtual Network Service for
SINET and Microsoft Azure
Research institution
B’s system

Encrypted communication using IPsec
NTT East/West
FLET’S service

TOKAI COM
ISP network

Internet* Customers using VIC-VPN for Microsoft Azure can rent an on-premises VPN routerfrom TOKAI COM.
* Other routers for customer premises are also available (optional).

5.

Future activities
TOKAI COM will continue to work with Microsoft Japan to help universities and research institutions enhancetheir cloud usability and connectivity through the provision of this redundancy solution with an eye to bolstering
their educational and research activities.

6.

Endorsement
Microsoft Japan issued the following endorsement for this announcement.

Microsoft Japan extends a warm welcome to the launching of a solution designed to provide redundantconnection with Microsoft Azure by TOKAI Communications Corporation (hereinafter “TOKAICommunications”).
TOKAI Communications has been long providing private network connection service by way other than ofSINET. Provision of the redundancy configuration combined with such service is expected to respond to theneeds which customers using Microsoft Azure have on various network switch performance.
Microsoft Japan, cooperating with TOKAI Communications as a partner company, will proactively makejoint proposals including the solution designed to provide redundant connections to over 800 universities andresearch institutions across the nation which are subscribing in SINET, and by doing so, will contribute tobusiness development of customers with the latest technology.
Microsoft Japan Co., Ltd.
Executive Officer, Public Sector Business Deputy General ManagerYuji Mitsunobu[For reference]
About the existing services that provide private network connections to Microsoft Azure(1) BroadLine Azure Connection ServiceThe service uses ExpressRoute, Microsoft Azure’s private connection service, to provide connections between
Azure and customer premises via a secure, high quality dedicated line or broadband Ethernet.
Connection speeds: A wide range of speeds are available from below 1 Gbps (10 Mbps, 100 Mbps, etc.) to 10Gbps.
Service area:
Nationwide
Price:
Varies per customer requirements (Please contact a TOKAI COM sales representative for aprice quote.)*4, *5Service launch:
January 15, 2015
(2) VIC-VPN for Microsoft Azure
This low-cost service uses a TOKAI COM-leased VPN router and the TOKAI COM network in combination with
the NTT East or NTT West FLET’S subscription service to realize connections to Microsoft Azure via an internet
VPN.
Connection speeds:
On a best-effort basis (Connection speed depends on the speed of the FLET’S service atthe customer’s end.)
Service area: NationwidePrice:
Initial payment of 50,000 yen (excluding tax) and a monthly fee of 9,800 yen (excluding tax) perlocation *5, *6
Service launch: April 1, 2016
*4
*5

A router for customer premises is also available (optional).
Additional fees for Microsoft Azure (including ExpressRoute for service 1 and VPN gateway for service 2) will apply (based on a contract
between the customer and Microsoft Japan).

*6Additional FLET’S service fee will apply (based on a contract directly between the customer and NTT East/West).

About the redundancy solution for all corporate customers
TOKAI COM makes a redundancy solution that provides connections between Microsoft Azure and customer
premises available to all corporate customers, including private companies, government agencies, and educationalinstitutions. The company offers the following solution models combining the above-mentioned services to provide an
optimal connection configuration suited to the customer’s use and environment.
[Model A] (1) Azure Connection Service + (1) Azure Connection Service
This model uses a redundancy configuration for both the ExpressRoute ports and the access network to customer
premises for enhanced connection reliability. Access networks may be contained in different stations to create
redundant connections via different paths.
[Model B] (1) Azure Connection Service + (2) VIC-VPN for Microsoft Azure
Unlike Model A, an internet VPN service is used as a backup line. This enables customers to minimize the cost required
for the backup line.

* Microsoft, Microsoft Azure, and ExpressRoute are trademarks or registered trademarks of Microsoft Corporation in the UnitedStates and/or other countries.
* All other company, product and service names, logos, etc. mentioned herein are trademarks or registered trademarks of theirrespective owners.

[Inquiries about the service]
Service Representative
Business Promotion Department, Corporate Sales Division
TOKAI Communications Corporation
E-Mail: info@broadline.ne.jp

Website (Japanese only): http://www.broadline.ne.jp/