ALAMEDA, Calif.-UTStarcom Inc. said it has signed a $67 million deal with China Netcom Group to expand the carrier’s existing IP-based network in Inner Mongolia, metropolitan Beijing and the provinces of Heilongjiang, Liaoning, and Shandong.
Shares of the communications technology provider were up slightly on the news Friday, trading at $7.37 in mid-day activity after opening at $7.27. Research firm Thomas Weisel downgraded the firm Thursday, however, changing its outlook from “outperform” to “peer perform.”
“With approximately 2 million subscribers, Beijing continues to be an important city for the growth of PAS in China,” said Simon Le, senior vice president of sales at UTStarcom China. “Both UTStarcom and its carrier customers are committed to making technological innovations to enhance the PAS service and attract more subscribers.”
