UTStarcom signed a strategic cooperation agreement with Zhongrui Technology

Rhea-AI Summary

UTStarcom announced a strategic cooperation agreement with China Comservice Zhongrui Technology on September 8, 2021. The partnership aims to develop and produce software and hardware products focusing on blockchain, IoT, cloud computing, and 5G. This collaboration is expected to enhance both companies' capabilities in product marketing and sales.

UTStarcom, celebrating its 30th anniversary, is positioned to leverage its R&D expertise to optimize growth in transformational technologies while Zhongrui Technology brings significant technical expertise and market presence.

Positive

• Strategic cooperation with China Comservice Zhongrui Technology could enhance product offerings and market reach.
• Focus areas include cutting-edge technologies like blockchain and 5G, which may drive future growth.

Negative

• None.

HANGZHOU, China, Sept. 16, 2021 (GLOBE NEWSWIRE) -- UTStarcom (“UTStarcom” or the “Company”) (NASDAQ:UTSI), a global telecommunications infrastructure provider, today announced that UTStarcom Communications Co., Ltd. signed a strategic cooperation agreement with China Comservice Zhongrui Technology Co., Ltd. ("Zhongrui Technology") on September 8, 2021.

The strategic cooperation between the two companies will focus on the development and production of software and hardware products of UTStarcom and Zhongrui Technology in the fields of blockchain, Internet of Things (IoT), cloud computing, big data, artificial intelligence, 5G + Industrial Internet, information security and others. Initial focus is going to be on the blockchain and 5G access/IoT devices and applications. The cooperation agreement creates a foundation for comprehensive cooperation of the two companies in related technologies, as well as in product marketing and sales.

Zhongrui Technology is a state-owned enterprise established in 1982 and affiliated to China Communications Services Co., Ltd. It is one of the top 50 communications engineering design enterprises in China, and is listed as an outstanding enterprise in Guangdong Province. The main business is planning, consulting and design of telecommunication business and platforms, cloud computing data centers, informatization system integration, application of new technologies, including the blockchain technology. With strong technical expertise and innovative application design capabilities, Zhongrui Technology brings to the partnership its strengths, competitive advantages, and valuable team experience.

As an international telecom infrastructure provider of cutting-edge modern telecommunications technologies and products, UTStarcom has expertise in the research, development, production and sales of products and solutions that meet today’s rapidly changing requirements of a variety of applications, including cloud services, mobile communications, metro aggregation, broadband services and many others. Its products have been used by domestic and foreign operators in a number of market segments. In addition, UTStarcom supports in-house R&D, production and manufacturing for the entire product life cycle. The Company is equipped with advanced design, testing and measurement tools, and focuses on production of high-quality telecommunications equipment. The Company is LRQA-certified, meeting ISO9001/14001, and ISO45001 certification requirements, RoHS compliant, and also supports comprehensive quality control process to achieve carrier-class products quality and reliability that meets high requirements of telecom operators.

UTStarcom and Zhongrui Technology held a signing ceremony on September 8, 2021 to mark the commencement of strategic cooperation. The strategic cooperation agreement was signed by UTStarcom CEO Li Hua and Zhongrui Technology General Manager Li Baowen. In addition, UTStarcom Chairman Shan Ning, Zhongrui Technology Supervisor Jiang Shaojie attended the ceremony, together with key executives of both companies. During the signing ceremony, the two companies indicated their commitment to the principle of "complementing each other's advantages, in-depth cooperation, and sustainable development” that will enable the companies to fully utilize their advantages and to strengthen cooperation for mutual benefit and business development.

Mr. Li Hua, UTStarcom’s Chief Executive Officer, commented, "At present, a number of IT and telecommunication technologies are driving the transformation of technology paradigm, and has penetrated and integrated widely with all walks of life, becoming the main driving force of the new industrial revolution. Among them, 5G, Blockchain, Cloud Computing, Big Data, Internet of Things, and Artificial Intelligence are leading the digital and industrial revolution.”

Mr. Li Hua continued, “This year, UTStarcom celebrates its 30th anniversary. With our engineering talent, advanced technologies, R&D and manufacturing expertise in the field of communication technologies and equipment, we are committed to capitalizing on this opportunity to drive growth and optimize development of those transformational technologies.”

About UTStarcom Holdings Corp.

UTStarcom is committed to helping network operators offer their customers the most innovative, reliable and cost-effective communication services. UTStarcom offers high performance advanced equipment optimized for the most rapidly growing network functions, such as mobile backhaul, metro aggregation and broadband access. UTStarcom has operations and customers around the world, with a special focus on Japan, India and China. UTStarcom was founded in 1991 and listed its shares on the Nasdaq Market in 2000 (symbol: UTSI). For more information about UTStarcom, please visit http://www.utstar.com.

About China Comservice Zhongrui Technology Co., Ltd.

Zhongrui Technology is a state-owned enterprise established in 1982 and affiliated to China Communications Services Co., Ltd. The main business is communication business and platforms planning and design, cloud computing data center planning and consulting, informatization system integration, new technology application, etc. The services provided by Zhongrui Technology include comprehensive planning and consulting of communication business, consulting and design of communication core networks, IP networks, transmission networks, communication business platforms, wireless networks, communication computer room power supply, air conditioning and other supporting facilities, building intelligence and government and enterprise information systems, planning and consulting of IDC data centers, big data cloud platforms, information system integration, Blockchain technology applications and so on.

For investor and media inquiries, please contact:

In China

UTStarcom Holdings Corp.
Tel: +86 571 8192 8888
Ms. Ning Jiang, Investor Relations
Email: njiang@utstar.com / utsi-ir@utstar.com

In the United States:

The Blueshirt Group
Mr. Ralph Fong
Tel: +1 (415) 489-2195
Email: ralph@blueshirtgroup.com 

FAQ

What is the significance of the cooperation agreement signed by UTStarcom on September 8, 2021?

The cooperation agreement with China Comservice Zhongrui Technology focuses on developing software and hardware products in blockchain, IoT, cloud computing, and 5G, potentially enhancing market capability.

What technologies will UTStarcom and Zhongrui Technology collaborate on?

They will collaborate on blockchain, Internet of Things (IoT), cloud computing, big data, artificial intelligence, and 5G technologies.

What does the strategic cooperation with Zhongrui Technology mean for UTStarcom's future?

This strategic cooperation is expected to leverage both companies' strengths to drive growth in emerging technology sectors.

When was the cooperation agreement between UTStarcom and Zhongrui Technology signed?

The cooperation agreement was signed on September 8, 2021.

What is the focus of UTStarcom's product development following this agreement?

The focus is on blockchain and 5G access/IoT devices and applications.