ATLANTA-UTStarcom Inc. said it has entered an agreement to acquire the intellectual property portfolio of Hyundai Syscomm for between $12 million and $15 million in cash.
Terms of the deal call for UTStarcom to acquire the product portfolio, intellectual property-including about 2900 Korean, U.S. and other foreign issued or pending patents, selected research and development assets and selected employees, said the company. In addition, UTStarcom will grant Hyundai Syscomm a license to use the acquired IP in its business.
“This acquisition immediately propels UTStarcom to the forefront of global CDMA capability and complements our tremendously successful PAS and CDMA PSDN solutions,” said Hong Lu, president and chief executive officer of UTStarcom.
In other news, UTStarcom announced a strategic partnership with IPWireless to develop and manufacture network infrastructure, consumer devices and services based on the IPWireless UMTS TDD high chip rate solution.
UTStarcom is the first company to license the technology from IPWireless, said the company.
According to the agreement, UTStarcom will integrate IPWireless’ UMTS TDD chipsets into several devices, including broadband access modems and new devices such as Voice over Internet Protocol handsets. The company also will produce TD-CDMA NodeB base stations and will integrate them into its dual-mode radio network controller. Finally, the companies will cooperate on integrating the existing UMTS platform with existing IP service platforms.
