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March 16, 2004
UTStarcom launches first PAS/GSM handset

UNITED STATES AND NEW DELHI -- UTStarcom, Inc. recently launched the UT 818, its first dual-mode PAS/GSM handset. Initially, the phone was launched in Vietnam to serve the strong demand of PAS Cityphone subscribers in Hanoi and Ho Chi Minh City. The company plans to introduce the handset in other markets over time. PAS subscribers who travel outside their service area will now have the capability of making and receiving calls on surrounding GSM networks. Moreover, while users are in their service area, they can choose to make or receive calls on either PAS or GSM.

The new dual-mode handset is lightweight and small; it features two LCD screens, 32 polyphonic ringtones, a phone book, calendar, address book and memo applications; it is also equipped with a talk time display, alarm clock, and games. It allows for SMS and 32k data service while on the PAS network. The UT 818 is the first of an entire line of new PAS handsets that UTStarcom plans to unveil in 2004, ranging from more affordable models to phones with higher-cost, higher-functionality, phones.

In 2003, UTStarcom shipped 16.5 million handsets. This development established it as the largest supplier of handsets in the Chinese market, and enabled it to garner greater than 60 percent of the PAS handset market share. Over 20 million people subscribe to the PAS service worldwide on networks powered by UTStarcom technology. The key markets include Mainland China, Taiwan, Vietnam, and Latin America.

Hong Lu, chairman and chief executive officer, UTStarcom, said: "The UT 818 handset is the result of tremendous subscriber demand for a dual-mode handset, which allows for interoperability between PAS and GSM networks. It is a testament to UTStarcom's dedication to drive innovative solutions in order to meet subscribers' demands and to create new revenue opportunities for its operator customers. The handset represents the best of both worlds -- the cost-effectiveness of the PAS service and the ubiquity of GSM networks."

Contact:
UTStarcom
Tel: +1-510-749-1560
www.utstarcom.com









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