UTStarcom signs $100 mln in deals with Yahoo BB
Wednesday January 8, 10:57 am ET
Reuters
ALAMEDA, Calif., Jan 8 (Reuters) - UTStarcom Inc. (NasdaqNM:UTSI - News), a communications equipment maker, said on Wednesday it signed contracts worth more than $100 million to supply equipment to support Yahoo BB, Japan's largest supplier of high-speed Internet access over standard phone lines.
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UTStarcom, based in Alameda, California, said the contracts for Internet-based digital subscriber line access multiplexers are an extension of existing deals. Multiplexers are electronic equipment that allow two or more signals to pass over one communications circuit, such as a phone line.
Yahoo BB, which is controlled by Japanese Internet services group Softbank Corp. (Tokyo:9984.T - News), has already deployed more than $130 million worth of UTStarcom gear. UTStarcom said Yahoo BB will use the equipment to deliver streaming video service starting in the first quarter.
Softbank and its subsidiary, Yahoo Japan Corp. (4689.Q), launched the Yahoo BB service in September 2001. Softbank also owns about 4 percent of Internet media company Yahoo Inc. (NasdaqNM:YHOO - News) and about 20 percent of UTStarcom.
UTStarcom shares were up 25 cents at $22.08 on Wednesday morning on the Nasdaq. |
