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UTStarcom Introduces The F3000 – The Next Generation Of Portable WiFi Handset

PARIS, France, 4 September, 2006 – UTStarcom, Inc. (Nasdaq: UTSI), a global leader in IP-based, end-to-end networking solutions and services, today announced the European launch of its newest portable WiFi handset – the F3000.

“We are seeing massive growth in demand for mobile Voice-over-IP devices as the number of public WiFi hotspots and prevalence of wireless routers in people’s homes and offices increases,” said Youssef Kassissia, VP EMEA Region, UTStarcom, Inc. “This, combined with the international roaming charges levied by operators, is encouraging consumers to look to wireless VoIP as a cost-effective alternative to traditional mobile telecommunications, both at home and abroad.

“The F3000 builds on the success of our award-winning F1000 handset, our first-generation WiFi phone launched last year and the low-cost market leader in WiFi handsets worldwide,” Mr. Kassissia added. “Much like the F1000, UTStarcom’s F3000 is designed to give consumers the ability to reap the benefits of VoIP service without being tethered to a fixed-line and at a consumer friendly price point.”

With a sleek, clamshell design available in both black and gold, UTStarcom’s F3000 WiFi handset bridges the gap between traditional WiFi phones and today’s state-of-the-art cellular devices, offering consumers a combination of form and functionality. Measuring 85 x 43 x 22mm and weighing approximately 90g, the F3000 features a full-color, 1.8” (45.7mm) LCD screen, polyphonic ringtones, text messaging capability and talk-time of up to three hours and stand-by time of approximately 75 hours.

The phone supports a range of voice protocols, including SIP, SDP, RTP/RTCP and RFC 2833/inband DTMF, and utilizes ITU codecs G.711 and G.729. It operates at WiFi 802.11b/g 2.4GHz and supports WiFi security WEP64/128 and WPA. The F3000 also supports a variety of user interface languages, including English, French, Spanish and Chinese, and standard PSTN features, such as call waiting and three-way calling, are also available. It is easily configured, supporting auto-provisioning and remote software upgrades.

Additionally, UTStarcom’s F3000 features an Auto-Search capability, enabling users to locate WiFi networks within range and store these profiles for later use. Moreover, the handset can be programmed with three separate SIP accounts, providing both service provider and access point flexibility for the end user.

Availability
The handset is currently being deployed by customers worldwide and can be purchased directly from UTStarcom or through one of the company’s regional distributors. For more information about UTStarcom’s F3000, please visit http://www.utstar.com/Solutions/Handsets/WiFi/

A high resolution image of UTStarcom’s F3000 is available on request from howard@gbcspr.com

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 broadband, wireless, and handset 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 design operations in the United States, Canada, China, Korea and India. UTStarcom is a FORTUNE 1000 company.

For more information about UTStarcom, visit the company's Web site at www.utstar.com.

Forward-Looking Statements
This release includes forward-looking statements, including the foregoing statements regarding the anticipated size and location of deployments of the Company’s IPTV solutions in China, the anticipated significance of the Company’s IPTV technology and service in the telecommunications market, the anticipated emergence of IPTV-based business model and value chain, the anticipated growth of market and consumer demand for IPTV in various regions of China, the expectation that the RollingStream solution can help service providers deliver broadcast quality TV and on-demand entertainment programming over IP networks, the expectation that RollingStream will enable service providers to support new services over existing network infrastructures, and the expectation that RollingStream will present service providers with opportunities for increased revenues, new services, and improved customer satisfaction and retention. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially. These risk factors include rapidly changing technology, the changing nature of global telecommunications markets, both in China and globally, the termination of significant contracts, the direction and results of future research and development efforts, evolving product and applications standards, reduction or delays in system deployments, product transitions, changes in demand for and acceptance of the Company’s products, general adverse economic conditions, and trends and uncertainties such as changes in government regulation and licensing requirements, both in China and globally. The Company also refers readers to the risk factors identified in its latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission.