[July 18, 2005]

UTStarcom Signs Contracts to Deploy Approximately 500,000 IP DSLAM Lines With China Telecom and China Netcom

ALAMEDA, Calif., July 18 /PRNewswire-FirstCall/ -- UTStarcom, Inc. , a global leader in IP-based, end-to-end networking solutions and services, today announced that it recently signed contracts with China Telecom and China Netcom to deploy approximately 500,000 lines of its AN-2000(TM) IP-based Digital Subscriber Line Access Multiplexer (IP DSLAM) solution in 18 provinces throughout Mainland China.

(Logo: http://www.newscom.com/cgi-bin/prnh/20031229/UTSLOGO )
"More than 30 million people currently subscribe for broadband service in China today, representing a 300 percent increase in subscribers since the end of 2003," said Simon Le, senior vice president of sales at UTStarcom China. "IPTV and other triple play services continue to drive the demand for broadband throughout China, one of the fastest growing regions in the world for broadband services. UTStarcom is collaborating closely with both China Telecom and China Netcom on IPTV in field trials at over 40 sites throughout China."
UTStarcom has deployed more than seven million lines of its industry-leading AN-2000 IP DSLAM to date with customers in Asia, Europe and Latin America.
About UTStarcom's Broadband Solutions
UTStarcom's broadband wireline solutions are designed to enable carriers to deploy IP-based, high-speed Internet, voice, data and multimedia services over wireline networks. Designed for highly efficient, converged service delivery across an evolving networking landscape, these solutions continue to expand the capacity and performance of narrowband, broadband and transport solutions. Our wireline broadband product offering includes a suite of optical transport platforms, extensive edge network access solutions, and a distributed IPTV and multimedia delivery system.
About UTStarcom, Inc.
UTStarcom is a global leader in IP-based, end-to-end networking solutions and international service and support. The company sells its broadband, wireless, and handset solutions to operators in both emerging and established telecommunications markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks. Founded in 1991 and headquartered in Alameda, California, the company has research and design operations in the United States, China, Korea and India. UTStarcom is a FORTUNE 1000 company.
For more information about UTStarcom, visit the company's Web site at http://www.utstar.com/.
Forward-Looking Statements
The foregoing statements regarding, without limitation, the role of IPTV and other triple play services in driving demand for broadband in China and nature of the relationship between UTStarcom and both China Telecom and China Netcom are forward-looking in nature and are subject to risks and uncertainties that may cause actual results to differ materially. These factors include rapidly changing technology, the changing nature of China's telecommunications market, evolving product and application standards, changes or delays in product introductions and deployments, possible downturns in the markets of China generally and worldwide, the termination of significant contracts, partnerships or alliances, specifically with both China Telecom and China Netcom, and other uncertainties, such as changes in government regulation and licensing requirements in China and worldwide. UTStarcom also refers readers to the risk factors identified in its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K as filed with the Securities and Exchange Commission.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20031229/UTSLOGOAP Archive: http://photoarchive.ap.org/PRN Photo Desk,photodesk@prnewswire.com

UTStarcom, Inc.

CONTACT: Chesha Kamieniecki, Senior Manager of Investor Relations ofUTStarcom, Inc., +1-510-749-1560; or media, Stephanie Gallagher of Engage PR,+1-510-388-3287, or Stephanie@engagepr.com

Web site: http://www.utstar.com/

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