UTStarcom Does B'band for NEC Brazil

SAO PAULO, Brazil -- UTStarcom, Inc. (Nasdaq: UTSI), a leading provider of next generation technology for telecommunication carriers, and NEC Brazil, developer of telecommunication and IT solutions for carriers, corporations and government entities, announced today their alliance to provide innovative broadband solutions in Brazil. The deal is one of several partnerships between the two companies aimed at bringing high-speed voice, data, and video services to Latin America.

Under this alliance, UTStarcom will provide its next-generation IP-based broadband technology, and NEC will integrate UTStarcom's products into the country's existing infrastructure to offer new and innovative solutions to service providers.

"NEC Brazil, with 35 years in operation and a solid reputation as a leading solutions provider, is the ideal partner to introduce UTStarcom as a new entrant to the Brazilian market. Both companies possess a formidable position in the market and leadership in the industry, and will now leverage their leadership to offer the most innovative solutions to operators," said Rene Mendez, vice-president of UTStarcom Latin America and Caribbean.

The AN-2000 IB(TM) is the IP-DSLAM platform that will be used to provide a wide variety of high-quality and easily implemented multimedia solutions, providing faster return on investment to telecommunication carriers in addition to preparing them to perform with Next Generation Networks (NGN). Using UTStarcom's technology, operators will be able to offer "triple play" services to its customers, enabling access to high-speed voice, video, and data applications.

"We believe UTStarcom responds perfectly to the market demand for multimedia broadband solutions, offering carriers revenue generating solutions and a rapid return on their investment, which means savings for the end user as well as the possibility of always aggregating new multimedia services," stated Paulo Castelo Branco, president of NEC Brazil.

NEC Corp.

UTStarcom Inc.