Investor Relations

Expanded Strategic Alliance to Provide UTStarcom with Access to Peru, Argentina, Chile and Paraguay

ALAMEDA, Calif., Nov. 4 /PRNewswire-FirstCall/ -- UTStarcom, Inc. (Nasdaq: UTSI) today announced a growing sales association with Logicalis, a UK-based international provider of Information & Communications Technology (ICT) and a wholly owned division of Datatec Limited (DTC). The collaboration will help accelerate the growth of UTStarcom's IPTV product offerings and broadband access solutions to tier-one and tier-two service providers in South America.

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"UTStarcom continues to engage in opportunities to expand the reach of our broadband and IPTV portfolios," said Diego Martinez, UTStarcom's Americas Regional Vice President. "Our extended sales arrangement with Logicalis aligns with our efforts to grow sales channels and strengthen relationships outside of China and India."

This growing relationship between UTStarcom and Logicalis benefits both companies by targeting new sales opportunities within the South American region via the combined customer base and managed service offerings. Additionally, both companies will collaborate to help ensure the quality deployment of the infrastructure products and services. There is also a sales pipeline identified with countries throughout the Southern Cone, indicating potential areas of additional growth for this agreement.

"Logicalis is committed to providing its customers with innovative products and solutions that leverage the widespread use of broadband and IP-based services," said Rodrigo Parreira, Logicalis' Chief Operating Officer for the Southern Cone. "We are pleased to have signed an enhanced cooperative agreement with UTStarcom and we look forward to offering an expanded portfolio of solutions to our customers throughout Latin America."

According to the agreement, UTStarcom's portfolio of solutions will be marketed and distributed through Logicalis' sales force in Argentina, Chile, Peru, Uruguay and Paraguay. UTStarcom will also support the sales of Logicalis' solutions throughout the Americas region.

UTStarcom's broadband solutions enable the deployment of IP-based, high-speed Internet, voice, data and multimedia services over wireline and optical networks for service providers such as Bharat Sanchar Nigam Ltd. (BSNL) and United Telecoms Ltd. In addition, UTStarcom's RollingStream® IPTV system provides customers with advanced video services such as interactive television, digital signage, mobile TV and distance learning programs. UTStarcom has announced IPTV deployments with Bharti Airtel, BSNL/Aksh, Mahanagar Telephone Nigam Ltd. (MTNL)/Aksh and United Telecoms Limited in India; China Unicom and China Telecom in China; Sri Lanka Telecom in Sri Lanka; Softbank in Japan, Brasil Telecom in Latin America and Markwell in Taiwan. UTStarcom is the IPTV market share leader in both China and India. UTStarcom is also the market share leader in India's broadband market.

About Logicalis

Headquartered in the UK, Logicalis is an international provider of integrated information and communications technology (ICT) solutions and services founded on a superior breadth of knowledge and expertise in communications & collaboration; data centre; and professional and managed services.

With its international headquarters in the UK, Logicalis Group employs over 1,600 people worldwide, including highly trained service specialists who design, specify, deploy and manage complex ICT infrastructures to meet the needs of over 5,000 corporate and public sector customers.

Logicalis partners with Cisco, HP and IBM on an international basis and has specialised solutions for enterprise and medium sized companies in the financial services, retail, manufacturing, and professional service sectors helping these companies benefit from cutting-edge technologies in a cost effective way. We also work with Service Providers and many public sector organisations in local government, education and healthcare.

The Logicalis Group has annualized revenues in excess of $1 billion, from operations in the UK, US, Germany and Latin America, and is fast establishing itself as one of the leading IT and Communications service providers, specialising in the areas of advanced technologies and services.

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 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. The company was founded in 1991 and is headquartered in Alameda, California. For more information about UTStarcom, visit the company's Web site at http://www.utstar.com.

Forward-Looking Statements

This press release contains forward-looking statements regarding UTStarcom's future strategy, including statements regarding the company's IPTV technology and broadband portfolios. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially. Factors that could cause actual results to differ materially from those contained in our forward-looking statements include: risks associated with delays in product development or customer acceptance and implementation of new products and technologies; economic issues in the identified geographic markets; and changes in government regulation and licensing requirements. Please also refer to UTStarcom's periodic reports that are filed from time to time with the Securities and Exchange commission, including our latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. UTStarcom assumes no obligation to, and does not currently intend to, update these forward-looking statements.

SOURCE UTStarcom, Inc.