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Virgin Mobile USA and UTStarcom See Nothing But Blue Skies for New Super Slice Handset Featuring Bluetooth(R) Wireless Technology

Next Generation of Super-Skinny, Affordable Handset Offers Virgin Mobile's First Bluetooth(R) Wireless Capabilities

WARREN, N.J. and HAUPPAUGE, N.Y., Sept 07, 2007 /PRNewswire via COMTEX News Network/ --

Virgin Mobile USA customers will soon be feeling blue -- but for all the right reasons. That's because the no annual contract wireless network and handset supplier UTStarcom Personal Communications, a division of UTStarcom, Inc. (Nasdaq: UTSI), have introduced Virgin Mobile's first Bluetooth(R) wireless technology-enabled handset -- the Super Slice.

(Photo: http://www.newscom.com/cgi-bin/prnh/20070907/NYF011 )

(Logo: http://www.newscom.com/cgi-bin/prnh/20070613/VIRGINMOBILE )

The next generation of last year's highly popular Slice, this Super Slice is a trim, candy bar-style handset that boasts one of the country's slimmest profiles in the no annual contract wireless arena, at 0.4 inches thin. The Super Slice is also Virgin Mobile's first Bluetooth(R) wireless technology- enabled handset, giving customers new levels of flexibility and convenience. Priced at an affordable introductory price of $59.99 and equipped with a VGA camera with 3x zoom and numerous other features, the Super Slice will be available in mid-September at Virgin Mobile's participating retail partners as well as online at www.virginmobileusa.com.

"Giving our customers new features that work for their lifestyle is always top-of-mind for our team. And Bluetooth(R) wireless is one of the functions our customers were most interested in," said Dan Schulman, CEO of Virgin Mobile USA. "The combination of a super-light and super-thin profile, the flexibility of Bluetooth(R) technology, the convenience of a 3X zoom camera, and a competitive price point make this new Super Slice another appealing offer for our entire base."

"Super Slice is not only practical and affordable, but also offers popular extras and a stylish look," said Philip Christopher, president of UTStarcom Personal Communications. "We believe this Virgin Mobile handset has ideal features for Virgin Mobile's more than 4.8 million customers. We are proud of this new update to the already popular Slice."

The Super Slice comes with pre-loaded games and is powered by a strong Lithium Ion battery with up to 270 minutes of continuous talk time (4.5 hours) and stand-by time of 230 hours. It measures just 0.4 inches deep with a height of 4.4" and width of 1.9" -- about the width of a standard business card. Super Slice is light on the pocket as well as the wallet, weighing a mere 2.5 ounces.

In addition to Bluetooth(R) wireless technology, Super Slice has a built- in speaker phone for hands-free talking and can access Virgin Mobile's exclusive music information database, Headliner. The company's new dynamic and intuitive user interface is also on this new handset.

The Super Slice utilizes Qualcomm's CMX(TM)-enabled ring tones and screensavers, which support popular audio (MIDI, QCP, MP3, PMD, CMX) and image (PNG, JPG, GIF87, BMP) formats, all of which can be viewed on this new edition's bright display screen. Virgin Mobile customers can download an array of real-music ringtones, games, screensavers and more at www.virginmobileusa.com.

About Virgin Mobile USA, LLC

The nation's leading wireless youth provider, Virgin Mobile USA offers more than 4.8 million customers with control, flexibility and choice in wireless service, rich data content and innovative products without annual contracts. Voice pricing plans range from monthly options with unlimited nights and weekends to by-the-minute offers, allowing consumers to adjust how and what they pay according to their needs. Virgin Mobile's full slate of smart, stylish and affordable handsets, including the popular Switch_Back and Slice, are available at top retailers in more than 35,000 locations nationwide and online at www.virginmobileusa.com, with Top-Up cards available at more than 130,000 locations.

Virgin Mobile USA's national coverage is powered by the nationwide Sprint PCS network and the company, which launched in 2002, is a joint venture between Sir Richard Branson's Virgin Group and Sprint Nextel. Virgin Mobile contributes 5% of profits from downloadable content to The RE*Generation, its pro-social initiative to help homeless teens, through donations to charitable partners or funding of programs that support and raise awareness for young people in need; and provides postage-paid return envelopes in every new package for customers to recycle old phones.

About UTStarcom Personal Communications

UTStarcom Personal Communications is changing the way the world communicates through innovative wireless devices that deliver advanced communications solutions to improve personal lifestyles.

UTStarcom Personal Communications provides wireless communications devices including handsets, PocketPCs and wireless broadband modems to carriers throughout North and South America and supplies every CDMA carrier in the U.S. and Canada. The company's products are manufactured by its parent company, UTStarcom, Inc. (Nasdaq: UTSI), and by third-party original equipment manufacturers. UTStarcom Personal Communications Division is based in Hauppauge, New York, and maintains offices and support facilities throughout the U.S., Canada, Latin America, Korea and India.

UTStarcom, Inc. is a global leader in IP access networking solutions and international service and support. The company sells its wireline, wireless, optical and switching solutions to operators around the world. Founded in 1991 and headquartered in Alameda, California, the company has research and design operations in New Jersey, China, and India.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended, including statements regarding UTStarcom's expectations, beliefs, intentions or strategies regarding the future and including, without limitation, the anticipated functionality, features and style of, and benefits and affordability to users of, the Super Slice; the rapidly changing nature of the telecommunications market; and changes in government regulations of the handset industry.

All forward-looking statements included in this document are based upon information available to UTStarcom as of the date hereof, and UTStarcom assumes no obligation to update any such forward-looking statements. Forward- looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. These risks and other risks relating to UTStarcom's business are set forth in the documents filed by UTStarcom with the Securities and Exchange Commission, specifically its most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, and amendments thereto.

Bluetooth is a trademark of Bluetooth SIG, Inc. Bluetooth trademarks are owned by Bluetooth SIG, Inc.

SOURCE Virgin Mobile USA, LLC

http://www.virginmobileusa.com

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