IPTV to Serve as Platform for Interactive Advertising System in Guangxi ALAMEDA, Calif., July 21 /PRNewswire-FirstCall/ -- UTStarcom, Inc. (NASDAQ:UTSI) today announced that Guangxi Telecom Company Limited, a wholly- owned subsidiary of China Telecom Corporation Limited (NYSE:CHA.N), has chosen UTStarcom's industry-leading RollingStream(R) Internet Protocol TV (IPTV) platform to deploy a new interactive advertising system. Guangxi Telecom is the first service provider in China to deploy IPTV for building- based video advertising. (Logo: http://www.newscom.com/cgi-bin/prnh/20051013/SFTH063LOGO) UTStarcom will provide Guangxi Telecom with 3,600 concurrent IPTV streams for the initial deployment of the interactive advertising system in 14 Guangxi cities. In the first phase, set-top boxes will be deployed in supermarkets, department stores, office buildings and in Guangxi Telecom's facilities in Nanning, Liuzhou, Guiling, Qinzhou, Guigang, Wuzhou, Beihai and Baise. "UTStarcom has a great deal of experience in successfully deploying and scaling advanced IPTV solutions in China and around the world," said Robert Wu, CEO of UTStarcom China. "The advertising deployment with Guangxi Telecom is a strong demonstration of how UTStarcom is enabling new interactive applications based on our RollingStream platform, and we'll continue to work with leading service providers to provide innovative services for their customers." UTStarcom's RollingStream(R) end-to-end IPTV system currently supports more than 850,000 live IPTV subscribers globally and maintains a current total system capacity of more than 2.5 million subscribers as a result of recent successful deployments in China with China Netcom and China Telecom, in India with Bharti Airtel, MTNL/Aksh and United Telecoms Limited, in Sri Lanka with SLT, in Japan with Softbank, in Latin America with Brasil Telecom and in Taiwan with Markwell. About UTStarcom, Inc. UTStarcom is a global leader in IP-based, end-to-end networking solutions and international service and support. The company sells its solutions to operators in both emerging 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 1991 and headquartered in Alameda, California, the company has research and development operations in the United States, Canada, China, Korea and India. For more information about UTStarcom, visit the company's Web site at http://www.utstar.com/. About Guangxi Zhuang Autonomous Region Telecom Company Ltd. Guangxi Zhuang Autonomous Region Telecom Company Limited (hereinafter referred to as the Company), a wholly-owned subsidiary of China Telecom Corporation Ltd., is listed in Hong Kong and in the United States. The Company was founded on August 28, 2003 with registered capital of 4.992 billion yuan. The Company administers 14 city-level branches, 75 county-level branches, and one subsidiary company. The Company has nearly 10,000 employees. For more information, please visit http://hezhou.ptt.gx.cn/. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding UTStarcom's future strategy, including statements regarding the anticipated deployment of an interactive advertising system in China using the Company's RollingStream IPTV platform. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially. Factors that could cause actual results to differ materially from those contained in our forward-looking statements include: increased competition; economic issues in the identified geographic markets; failure to rapidly and successfully develop and introduce new products; risks associated with delays in product development or customer acceptance; implementation of new products and technologies; anticipated number of subscribers and traffic; and changes in government regulation and licensing requirements. Please also refer to UTStarcom's periodic reports that are filed from time to time with the Securities and Exchange commission, including our latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. UTStarcom assumes no obligation to, and does not currently intend to, update these forward-looking statements. http://www.newscom.com/cgi-bin/prnh/20051013/SFTH063LOGO http://photoarchive.ap.org/ DATASOURCE: UTStarcom, Inc. CONTACT: Darleen DeRosa, Senior Director, Corporate Public Relations of UTStarcom, Inc., +1-510-769-2830, ; or Sara Zavala of Edelman, +1-702-644-2465, Web site: http://www.utstar.com/

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