UTStarcom signs contract with China Telecom Corporation

World IT Report, May 4, 2004

UTStarcom, Inc., a global leader in IP access networking and services, Tuesday announced that it has signed a contract valued at approximately $21 million with China Telecom Corporation (CTC) to expand and optimize the IP-based PAS (Personal Access System) (iPAS(TM)) network in the cities of Suzhou and Taizhou in Jiangsu Province. The contract also includes additional PAS handsets to meet growing subscriber demand.

In April 2004, UTStarcom announced a $40 million contract with CTC to expand the iPAS network and extend the mSwitch(TM) iPAS core network and value-added services (VAS)platform for all of Jiangsu.

"The signing of another Jiangsu expansion contract shows China Telecom's strong confidence in PAS and in its long-term PAS expansion strategy, which is driven by China's vast demand for affordable wireless service," said Johnny Chou, president and chief operating officer of UTStarcom China. "The contracts further strengthen UTStarcom's leadership in Jiangsu, where we hold more than 60 percent of the market for both PAS systems and handsets."