IR/インベスターリレーションズ

New Solution Builds on the Success of All-IP CDMA Network Solution to Target Fastest-Growing Wireless Market in the World

(Logo: http://www.newscom.com/cgi-bin/prnh/20051013/SFTH063LOGO )

In November 2004, UTStarcom launched MovingMedia 2000, an end-to-end, IP-
based CDMA/CDMA2000 wireless infrastructure solution that enables mobile
operators to offer CDMA-based voice and data services over IP to end users.
Based on 3GPP2 standards specifications, MovingMedia 2000 is an ideal solution
for both incumbent and green-field CDMA operators offering coverage in 450Mhz,
800MHz and 1900MHz frequencies.

'Today's announcement on the addition of GSM capability to our existing
carrier-class MovingMedia 2000 CDMA/CDMA2000 network solution means UTStarcom
can now offer operators around the world a complete, end-to-end, all-IP
wireless network infrastructure solution supporting both CDMA and GSM,' said

Jack Mar, president of the CDMA/GSM division at UTStarcom, Inc. 'With more
than 2.5 billion users worldwide, GSM accounts for approximately 80 percent of
the total global mobile market. We believe this new product development
positions UTStarcom well for future growth opportunities.'

In addition to today's announcement of GSM capability on its MovingMedia
2000 platform, UTStarcom also announced deployment of the new GSM solution
with SeaMobile, a leading provider of advanced at-sea wireless voice
communications and data applications based in Seattle, WA. In November 2006,
SeaMobile announced deployment of UTStarcom's MovingMedia 2000 CDMA technology
to provide CDMA wireless voice and data services its fast-growing cruise line
client base.

(Editor's Note: See the announcement today titled, 'SeaMobile to Deploy
UTStarcom's MovingMedia(R) 2000 All-IP Network Solution to Deliver Wireless
GSM Voice and Data Services at Sea' for complete information.)

UTStarcom's new GSM capability on the field-proven MovingMedia 2000
platform offers many of the same benefits associated with the initial CDMA-
focused product.

Distributed Network Architecture

With traditional TDM-based wireless infrastructure solutions, multiple
network elements are typically collocated in centralized switching centers and
operators backhaul all network traffic, even local traffic, to one of these
central offices before transmitting it to the recipient.

Both the MovingMedia 2000 CDMA and GSM solutions employ an advanced, IP-
based architecture that distributes all the system components throughout the
network, rather than in one central location. This distributed architecture
approach means wireless operators can deploy the various network elements in
different cities or even countries, freeing them from the need to replicate a
complete system in every major city in which they offer service. The result is
drastically reduced network size and operational cost.

'The distributed architecture of MovingMedia 2000 not only decreases the
size and cost of an operator's network, but it also improves network
efficiency,' Mar said. 'Instead of all traffic being backhauled to a central
location, traffic is routed to the nearest gateway in the distributed network,
so local calls stay within the local area. As a result, wireless operators
will utilize far less transmission bandwidth, spend less money to connect a
call and realize improved call quality.'

In addition, operators who utilize UTStarcom's MovingMedia 2000 platform
can now offer both CDMA and GSM voice and data services to their subscribers.
Carriers need only deploy separate base stations as the traffic, once it's
converted to IP, can be routed over the same common MSC core network, thus
enabling additional operational savings while opening up new revenue
opportunities.

Expanded Coverage, Enhanced Services

Not only is MovingMedia 2000 designed to reduce the costs of operating a
wireless network, but it is also designed to enable carriers to extend IP
voice and data services to subscribers in locations that had previously been
inaccessible or too expensive to serve.

'Since its launch in late 2004, UTStarcom's MovingMedia 2000 all-IP CDMA
infrastructure solution has been successfully deployed with carrier customers
in North America, Africa, Asia and Europe in a variety of circumstances,' said

Brian Caskey, vice president of worldwide marketing for UTStarcom, Inc. 'We've
deployed in hard-to-reach regions in rural Alaska, India and Africa where no
copper infrastructure exists; aboard planes and cruise ships with American
Airlines, SeaMobile and Maritime Communications Partner AS (MCP) where compact
form factor is crucial; and in emergency response, disaster relief and
military deployments with QUALCOMM where rapid deployment and dependable
communications are critical. We believe our new GSM solution will offer
operators a similarly flexible platform to extend wireless voice and data
services to new subscribers in regions of the world not previously reachable.'

Operators can also install base stations for in-building deployment
scenarios in malls, convention centers, office complexes or campus
environments to maintain seamless indoor coverage for cell phone users.

    MovingMedia 2000 (GSM) Network Elements

    -- Mobile Switching Center (MSC) Server
       The UTStarcom Sonata(R) SE - MSC provides a scalable, cost-effective
       softswitch-based switching solution for MovingMedia 2000-based
       networks.

    -- Intelligent Media Gateway (IMG)
       This high density, highly compact hardware, efficiently translates
       calls between traditional telephone and wireless networks.

    -- Signaling Gateway (SGW)
       The SGW provides protocol processing and signaling functions for
       MovingMedia 2000 based-wireless networks.

    -- Operations Maintenance Center (OMC)
       The UTStarcom OMC provides a complete, centralized platform for
       managing all MovingMedia 2000 components.

    MovingMedia 2000 Availability

Both the MovingMedia 2000 GSM and CDMA solutions are available now for
deployment. For further information on pricing and availability, contact your
regional UTStarcom office.

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, Canada,
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 anticipated
utilization and functionality of the MovingMedia 2000 platform, the
anticipated ability of the platform to provide advantages to wireless
operators and to enable operators to extend their services into new markets,
and the anticipated ability of UTStarcom to enjoy future growth as a result of
product developments 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 the
telecommunications market, evolving product and application standards, changes
or delays in product introductions and deployments, the termination or
material amendment of significant contracts, partnerships or alliances, and
other uncertainties, such as changes in government regulation and licensing
requirements in relevant markets. 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.

SOURCE UTStarcom, Inc.