UTStarcom and IPWireless in 3G UMTS TDD partnership

March 23, 2004

UTStarcom and IPWireless announced a strategic partnership agreement to develop and manufacture network infrastructure, consumer devices, and services based on the IPWireless Universal Mobile Telecommunications System (UMTS) Time Division Duplex (TDD) High Chip Rate (HCR) solution. UTStarcom is the first company to license the technology from IPWireless, and will manufacture the equipment in its facilities in China.

UMTS TDD HCR, also known as TD-CDMA, the 3GPP standard that has emerged as the leading standard globally for mobile broadband, has been commercially deployed in countries around the world, including Australia, Germany, Malaysia, Mozambique, New Zealand, Portugal, South Africa, and the United States. The standard enables a range of subscriber services, including very high-speed access for laptops or desktops, backhaul for WiFi, as well as a number of IP applications such as Voice over IP (VoIP). Both IPWireless and UTStarcom are founding members of the recently launched Global UMTS TDD Alliance.

The partnership will enhance the overall UMTS TDD solution on both the network infrastructure and device sides. UTStarcom will integrate the latest generation of IPWireless' UMTS TDD chipset into several devices, including affordable broadband access modems and new devices such as VoIP handsets. UTStarcom will produce TD-CDMA NodeB base stations and will integrate them into its dual-mode Radio Network Controller (RNC) (supporting both TDD and FDD) and core network, adding huge efficiencies and reliability to the network. Finally, the two companies will work to integrate the UMTS platform with existing IP service platforms, creating end-to-end service solutions for operators.

"UTStarcom and IPWireless are both innovators in 3G technology," said Taher Behbehani, vice president of business development and strategy for UTStarcom. "The IPWireless cost-effective solution provides mobile network operators broadband speeds with the price-performance and flexibility of advanced TDD technology. UTStarcom's strategic support for leading edge UMTS, TD-CDMA, WCDMA, TD-SCDMA, and CDMA2000 solutions complements our powerful PAS (Personal Access System) family of wireless access and 2G CDMA products with a broad end-to-end 3G service portfolio."

UTStarcom uses a common IP-core for all of its wireless access solutions, which gives operators a unique advantage over circuit-based networks, including scalable performance, standards-based upgradeability, and integrated support for a wide range of high-value voice, data, and media applications and services.

"We are very excited to work with UTStarcom to develop and manufacture network infrastructure, consumer devices, and services based on our technology," said Chris Gilbert, chief executive officer, IPWireless. "We believe UTStarcom will add tremendous value to the UMTS TDD platform for operators and subscribers globally, giving them more competitive options for devices, infrastructure, and services. We welcome UTStarcom to the growing set of companies that are committed to moving UMTS TDD forward."

"We are pleased to partner with IPWireless to integrate their successful UMTS TDD solution into our network infrastructure equipment and end-user devices," said Pat Chan, vice president and general manager of 3G Business Unit for UTStarcom China. "We have already seen the great demand for these products as operators continue to seek network solutions that allow them to profitably offer subscribers the most advanced voice and data services. Through our partnership with IPWireless, UTStarcom can provide both 3G TDD and FDD solutions."