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Jan 3 2005

UTStarcom, Inc. (Nasdaq: UTSI), a global leader in IP access networking and services, today announced a contract to deliver its MovingMedia(TM) 6000 UMTS Time Division Duplex (TDD) wireless broadband solution to UK Broadband for the continuing rollout of its NETVIGATOR wireless broadband service in the UK.

Under the terms of the contract, UTStarcom will provide its wireless modems (customer premises equipment or CPEs) and base station equipment to UK Broadband, a wholly owned subsidiary of leading Asian telecoms group, PCCW Limited. (Photo: http://www.newscom.com/cgi-bin/prnh/20031229/UTSLOGO ) (For more information on MovingMedia 6000, see the companion announcement, "UTStarcom Introduces New MovingMedia 6000 Solution that Enables End-to-End Wireless Broadband Services Based on 3G UMTS TDD Standard," also released today.)

"One of the biggest trends in telecommunications today is the migration to wireless broadband," said Ian Stone, UK Broadband interim chief executive officer. "UTStarcom's wireless solution enables UK Broadband to offer subscribers bundled high-speed data, voice and additional value-added services over a portable, standards-based wireless broadband connection, which supports NETVIGATOR's 'Ready when you are' concept."

Soft-launched in May 2004 in the Thames Valley west of London, UK Broadband's NETVIGATOR service offers subscribers plug-and-play wireless broadband, with an initial choice of a 512 kbps or 1 Mbps connection. UK Broadband will pursue a continued phased rollout of the service during 2005.

In addition to its portable high-speed wireless broadband access, UK Broadband plans to offer a voice service over wireless broadband that can replace subscribers' landlines. UTStarcom's MovingMedia 6000 product line, enabled by the company's licensing partnership with IPWireless, is the first complete UMTS TDD solution available on the market today. The distinct advantage of the UMTS TDD solution, compared with other wireless broadband technologies, is the ability to offer low-cost standards-based broadband data solutions today that are truly portable.

"UTStarcom's MovingMedia 6000 solution offers operators a UMTS standards-based, end-to-end solution that supports higher performance and full portability for voice and data," said James Teel, senior director of 3G product management at UTStarcom. "Equally important, our mSwitch IP-based softswitch platform serves as the foundation of MovingMedia 6000, as it does with many of our other wireless and wireline solutions. In addition, Moving Media 6000 also leverages a proven UMTS core, which lowers the investment risk and helps speed time to revenue."

About UTStarcom Inc. UTStarcom is a global leader in IP access networking solutions and international service and support. The company sells its wireline, wireless, optical and switching solutions to operators in both fast growth 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 199