IR/インベスターリレーションズ

Contract to Enable Expansion of Communications Systems of One of the Largest Railway Networks in the World

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

RailTel is implementing optical, fiber-based broadband telecom long haul
as well as access network with new-generation optical networking systems. The
desired network aims to accommodate the growing demand for bandwidth, while
maintaining compatibility and enhanced flexibility to transport and route all
traffic types.

'India boasts one of the oldest, busiest and largest railway networks in
the world, one that caters to the most remote areas of the country,' said
Vijay Yadav, managing director of South Asia at UTStarcom, Inc. 'UTStarcom's
NetRing platform is designed to help cost effectively expand the internal
communication network of Indian Railways, principally in the northern, western
and southern parts of the country. In doing so, it intends to create a
flexible, nationwide network for providing managed voice, video and data
services in India to ISPs and telcos along the railway route in even the most
remote locations.'

Fiber-Based NetRing Products Provide Multi-Service Support

RailTel chose the NetRing product because it provides the state-of-the-art
in fiber connectivity and is a building block for expanded communications
across India. UTStarcom's NetRing product line provides aggregation, grooming,
cross-connect, and transport functionality to deliver high-density, highly
efficient STM-1 to STM-16, PDH (E1/DS1, E3/DS3), Fast Ethernet, Gigabit
Ethernet, and ATM services in SDH-based carrier networks. All systems are
designed to support full redundancy, multiple protection options, and in-
service upgrades.

For more information about UTStarcom's NetRing products, please visit:
http://www.utstar.com/Solutions/Broadband/Optical_MSTP/ .

About RailTel Corporation of India

RailTel, a wholly-owned subsidiary of India's Ministry of Railways, was
established in September 26, 2000 as a Public Sector Undertaking to primarily
exploit commercial use of State-owned railway communication infrastructure
besides modernizing the railways existing telecom network.

Since it is inception RailTel has grown by leaps and bounds, always alert
to new business opportunities and ever willing to innovate its services to
meet the needs of the market. Along with selling pure bandwidth, RailTel is
now making its presence felt in areas such as VPN, cyber cafes and Internet on
trains to name a few. Being a socially responsible organization, RailTel is
committed to connecting even the remotest areas of the country to give the
benefit of telecom revolution to every citizen of the nation. You can find
more about RailTel at www.railtelindia.com.

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
www.utstar.com.

Forward-Looking Statements

The foregoing statements regarding, without limitation, the anticipated
implementation of NetRing solutions on RailTel, the anticipated ability of the
RailTel network to accommodate demand while maintaining compatibility and
flexibility, the anticipated ability of NetRing to expand the internal
communication network of Indian Railways, the anticipated creation of a
nationwide network in India and the features and functionality of the NetRing
product line and systems 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 in general and the US market in particular, evolving
product and application standards, changes or delays in product introductions
and deployments, possible downturns in the US market, the termination of
significant contracts, partnerships or alliances, and other uncertainties,
such as changes in government regulation and licensing requirements in the
United States 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.

SOURCE UTStarcom, Inc.