UTStarcom Scores With Yahoo!

ALAMEDA, Calif. -- UTStarcom, Inc. (Nasdaq: UTSI), a leading provider of wireless, wireline, and broadband access equipment, today announced that it has been awarded new contracts valued at more than $100 million for the AN-2000 IB(TM), a carrier-class IP-based digital subscriber line access multiplexer (IP-DSLAM) in support of the Yahoo! BB ADSL service. To date, Yahoo! BB, the leading provider of broadband service in Japan, has already deployed more than $130 million worth of UTStarcom IP-DSLAM equipment to support its hugely popular 12 Mbps ADSL service. As the fastest-growing ADSL services vendor in the world, Yahoo! BB reached more than one million subscribers in September 2002, less than 13 months after the service was introduced. Key to its success is an emphasis on high-speed content delivery made possible by the AN-2000 IB; Yahoo! BB offers the highest performance of any other service provider in Japan. The company will extend its service lead by using UTStarcom IP-DSLAMs to deliver streaming video service starting in the first quarter of 2003. "The spectacular growth Yahoo! BB is experiencing shows how eager subscribers are for the cost-effective high-speed services our all-IP platform allows," said Masahiko Yabuki, general manager of UTStarcom Japan. "The expansion of our contract is an acknowledgment of the value the AN-2000 IB offers, both to subscribers and to service operators." UTStarcom Inc.