RNS No 4377n
INTERNET TECHNOLOGY GROUP PLC
21st January 1999



                  INTERNET TECHNOLOGY GROUP PLC
                             ("ITG")
                                
                   Grant of Telecoms Licences
                                
ITG,  the  UK's  largest  independent Internet  Service  Provider
("ISP"),  announces  the  award  of  national  and  international
telecommunications licences.

ITG  is  pleased  to  announce  that  it  has  been  granted   an
International   Facilities   Licence   ("IFL")   and   a   Public
Telecommunications Operator ("PTO") licence by the Department  of
Trade and Industry.

The  IFL  licence  permits ITG to operate its  own  international
network  based  on circuits acquired on long term  leases.    The
first  of these circuits, which was installed last summer, was  a
high capacity (155 MB/s) transatlantic link between London and New
York, and operated under a temporary licence.   The company plans
to  acquire additional circuits as the next stage in the  planned
expansion of its US and pan-European networks.   ITG has  already
been  granted an equivalent licence to operate in the US  by  the
Federal Communications Commission.

The National PTO licence brings a number of benefits to ITG.   In
the  short  term,  it  will improve ITG's  margins  on  corporate
services  by  enabling  the  Company to  purchase  circuits  from
British Telecom at wholesale prices.  In the longer term, it will
allow ITG to interconnect with carriers such as BT and share  the
call revenue generated by its customers. During 1999, ITG expects
customers to generate approximately 1.5 billion minutes  of  call
traffic.

Laurence Blackall, Chief Executive of ITG, said today:

"This  development  is a critical step in the  transformation  of
Internet  Technology Group into a facilities based ISP. With  our
national  infrastructure and substantial  international  backbone
already  in  place, we now have the most extensive IP network  of
any independent UK service provider."

                                                  21 January 1999
ENQUIRIES:

Internet Technology Group plc  Tel:  0181 957 1180
Laurence Blackall              Email: lb@globalnet.co.uk
Richard Brocksom               Email: rb@globalnet.co.uk

College Hill                   Tel: 0171 457 2020
Nicola Weiner                  Email: nicola@collegehill.co.uk
Archie Berens                  Email: archie@collegehill.co.uk


END

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