China's PAS Usage Hits 32M

ALAMEDA, Calif. -- UTStarcom, Inc. (NASDAQ:UTSI) , a global leader in IP access networking and services, today announced that more than 20 million people have subscribed for PAS (Personal Access System) service in China through China Netcom and China Telecom on networks powered by UTStarcom technology. It is estimated that the total number of PAS subscribers in China has reached 32 million. Company officials announced the milestone at a press conference in Beijing to launch the two latest models of their PAS handsets.

"UTStarcom's core values are centered around developing innovative technologies and providing a win-win scenario for its service provider customers and their subscribers," said Ying Wu, chief executive officer of UTStarcom China. "This milestone is a testament to UTStarcom's commitment to our customers and our rich corporate history as the first company to introduce PAS service to the Chinese market. It is for these reasons why UTStarcom represents the premium PAS brand on the market today."

Driven by tremendous subscriber growth and consumer demand for new designs, UTStarcom officials introduced two new PAS handset models that represent the latest in market trends in China -- the UT 728 and the UT 610.

The UT 728 represents the high end of UTStarcom's full spectrum of PAS handsets with a built-in camera with flash, 65,000 TFT color display, and 32 polyphonic ring tones. It offers users high-quality voice service along with an array of value-added data services and features, including Chinese/English short message service (SMS), 64Kbps fast Internet access capability, and email functionality.

The UT 610 is a fashionable, clam-shell-designed phone with musical keypads, bilingual SMS messaging, polyphonic ring tones and IP-phone service capabilities. UTStarcom provides more than 15 different choices of PAS handsets, from basic low-cost to high-functionality, higher-cost versions.

"We want consumers in China to think about UTStarcom whenever they want to buy a PAS phone," said Johnny Chou, executive vice president and chief operating officer of UTStarcom China. "Our leadership in both the PAS system and PAS handset market is further augmented by our commitment to improving the service. To date, we have established 653 customer service centers nationwide that offer maintenance services for UTStarcom handsets and equipment."

UTStarcom Inc.