IceWEB(TM) to Launch IceWEB NETWORK 2.0, Marketed as ''IN(2)(TM)''

IceWEB Inc. (OTCBB:IWEB), www.iceweb.com, today announced that it has completed final testing of its next generation hosting platform, dubbed: IceWEB NETWORK 2.0 (IN2). Beginning on March 15, 2008, current IceWEB customers will be automatically migrated to the new network platform at no additional cost. IceWEB customers will continue to utilize the same feature rich provisioning and control portal.

IN2 is built with INLINE Storage at the core, providing ultra-high performance, high availability and uncapped data storage potential all in an encrypted environment. IN2 incorporates an enhanced 64-bit server platform allowing a transparent migration to Microsofts Exchange Server 2007 and Exchange 14 upon its projected release by Microsoft in 2009. The enhanced Exchange Server environment will improve the overall user experience with faster data through-put and enhanced collaboration tools. Available in nine languages (providing for expansion into BRIC markets, otherwise known as second-tier IT markets between Western countries and developing nations), IN2 will also feature a comprehensive Disaster Recovery plan which will be made available as a white paper on the Companys website within the next two weeks.

IN2 has also pioneered a feature to meet the archiving needs of new customers and current users, alike. IceVAULT, a value added online service, will soon be available to provide archiving of data for up to five years. By customer request, there will also be an option to duplicate and store hard drives on an as needed basis. IceVAULT will provide a flexible and inexpensive solution to protecting sensitive data, and will be available at an additional charge. More information and pricing may be found in the IceWEB online store in the coming weeks.

John R. Signorello, Chairman and Chief Executive Officer of IceWEB, stated, IceWEB has made the investment to provide our customers with the services they require to continue to grow their business, meet the demands of their customers, and comply with federal, state or local mandates. In minutes, we can provision a new customer in a secure, encrypted and reliable network on their own e-mail and with their own data storage. Moreover, with the acquisition of INLINEs proprietary storage products, we have been able to develop a service model which will allow IceWEB and our customers near limitless product and service options when it comes to storing and archiving data, whether it is e-mail, databases, documents or just blocks of information - all at a fraction of the cost offered by our competitors.

About IceWEB, Inc.

Headquartered just outside of Washington, D.C., IceWEB is a leading source for branded On Demand products and services and proprietary enterprise data storage solutions, as well as best-of-class products, services and solutions offered in partnership with a wide range of global technology leaders. Its customer base includes U.S. government agencies, enterprise companies, small to medium sized businesses (SMB) and tech-savvy consumers. For more information, please visit www.IceWEB.com, www.IceMAIL.com and www.Inlinecorp.com.

Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties, including but not limited to business conditions and the amount of growth in the computer industry and general economy, competitive factors, and other risks detailed from time to time in the Companys SEC reports, including but not limited to its annual report on Form 10-K and its quarterly reports on Forms 10-Q. The Company does not undertake any obligation to update forward-looking statements.

Contacts:

IceWEB Investor Relations
Rick Lutz, 703-344-0951
email: investor@iceweb.com
or
Elite Financial Communications Group, LLC
Dan Conway, Chief Strategy Officer, 407-585-1080
email: dan@efcg.net

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