UTStarcom Holdings Corp

Investor Presentation

NASDAQ: UTSI

April 2015

2

Date

Leading Packet Optical Transport, Carrier Wi-Fi and SDN provider with global

presence and multiple blue chip carrier customers Long-term partnerships with the Tier one carrier in Japan Proven portfolio of innovative solutions that help operators to quickly launch new services while also reducing Opex and Capex Best-in-class product quality attributable to proven in-house R&D and

manufacturing capabilities Well-positioned to benefit from the disruptive changes of global telecom industry Experienced management team with a successful commercialization track record

Investment Highlights

3

Global spending on Carrier Ethernet Switches:

In 2013: $2.9B

By 2018: $3.7B (projected)

100G Packet Optical Transport

Integrated Carrier Wi-Fi

Global spending on Carrier Wi-Fi equipment:

In 2013: $607B

By 2017: $3.9B (projected)

Revolutionary SDN Platform

Global spending on SDN:

In 2013: $1.5B

By 2018: $35.6B (projected)

Sources: Infonetics 4Q13, Infonetics May13, SDNCentral, Plexxi

and Lightspeed Venture Partners

MSG10K can support 120,000 access points(AP)

Commercial deployment managing over

500,000 AP in Japan

50% data traffic can be offloaded from 3G/4G

Nearly 10000 nodes have been deployed

Surpassed $250 million milestone in early

2014

Flagship 100G TN765 launched in 2014

SDN - enabled

SOOTM SDN controller launched in 2014

At the forefront of SDN development

Successfully completed proof of concept in

Japan in early 2014

Provisioning of pre-planned bandwidth

on demand

Overview of Key Products

4

UTStarcom Has Four Core Strategies To Drive Future Growth

Growth Strategy

5

Software Defined Network (SDN) & Network Management System (NMS)

• SDN product Line: SOO (Software Defined Open Packet Optical) Network • SOO Station: SDN Sub/Central Controller • SOO Store/Design/Build/Care: SDN Apps

• Strong network and device management with e2e provisioning capability • User friendly and large scalability

Packet Optical Transport • Packet Optical Transport Network (MPLS-TP

&CE) • Complete product family fitting in from

Access, Metro to Core Network • Large scaled deployments worldwide for

multiple tier 1 telecom operators

TN 703

TN 701

TN 725/E

TN 705

TN 765

TN 735

Broadband Access

• Fixed-line Broadband Access solutions: MSAN, EAD and FTTx PON • Complete Carrier Wi-Fi solution: Wi-Fi AP & AC, NMS, VAS, AAA,

Billing, Mobile data offloading, etc.

MSG10000

WiFi AC

iAN B820 XGP BS

PON OLT BBS8240

GPON ONT

B1205E

B1205

Open I/F

• Open SBI managing 3rd party’s systems

• Open NBI and API for 3rd party’s APPs integration

Services • Professional post-sales services incl. installation, commissioning, maintenance and trouble shooting etc. for

optical transport and broadband access • Large volume field deployment experience incl. equipments, networks & management system • Capability to support network design and planning, fast response customized development

Our Product Portfolio

6

TN 703E

TN 703C/+

TN 701

• 44Gb/s SW

• FE/GE/XGE

• E1/STM-1

• 6.4Gb/s SW

• FE/GE

• E1/STM-1

• In/outdoor

• 4.4Gb/s SW

• 4xGE SFP

• 4xFE RJ45

• Outdoor

Edge/Aggregation Device Access/Edge Device

TN 725/E

7U

TN 705

3U

• 108/176Gb/s

SW

• 2.5/10G POS

• FE/GE/XGE

• E1/STM-1

• 88Gb/s SW

• 2.5/10G POS

• FE/GE/XGE

• E1/STM-1

Aggregation/Core Device

TN 765 • 960Gb/s /

1.28Tb/s SW

• 100GE

• 10GE

• WDM/ROADM

9U

TN 735 • 400Gb/s SW

• 10GE/POS

• FE/GE

• E1/STM-1

Network Management System – Netman OMC-O

Software Defined Networking – SOO Station P-OT/RPR/MSTP DB Redundancy

Packet Optical Devices - “From network edge to the Core”

7

Flag ship product for TN series

Support of 100GE transmission

High capacity: 1Tbps Full-Duplex redundant MPLS Switching, up to 1.28Tpbs

interfaces capability

SDN-enabled device, support of L3VPN

High port density: up to 96 x 10GE ports

Integrated WDM & 10Gbps Tunable Laser

Packet Optical Transport – 100G TN765

8

Over 20 years focus on producing telecom equipments •From PCB Assembly To MEC Assembly To System Integration •From NPI (New Products Introduction) To MP (Mass Production) •SMT, THT (PTH), MEC Assembly, Micro BGA, CSP,0201 •BGA Rework and Re-Balling

Best-in-class Quality •Comprehensive quality control process, certified by LRQA for ISO9001/14001, OHSAS 18001,QC080000 •Quality centric culture, implement “Kaizen” supervised by Japan customer and partner •Field approved, hardware failure fate less than 0.05% per month

Green, environment friendly, employee care

8

Outstanding In-House Manufacturing Capability

9

Japan

Softbank

NEC

India – around 35% broadband market share

BNSL

Reliance

Tata

Bharti

Korea

Key Partner Dasan Networks, who also holds our 5% shares

Taiwan

Taiwan Chunghwa Telecom

Indonesia

Telkomsel

Brazil

Oi

USA

In pursuit of US telecom carriers and cable MSO

Multiple Tier-1 Carrier Customers

10

Unit: US$ in millions

UTSI's Holding % Values on Book

UiTV 49% 20.0

aioTV 44% 8.0

Wireless City Planning 2.0% 9.2

Others in total N/A 22.6

Total N/A 59.8

Book Value of Our Investments

11

Diversified Content

Overview

Founded in 2010, UiTV is dedicated to pioneering the transition of traditional telecom networks to advanced triple-play entertainment services providers by delivering all-digital, high definition, intelligent, and interactive television services.

In partnership with TOT, the largest telecom carrier in Thailand, UiTV, through its subsidiary MeTV in Thailand, currently operates a multi-screen, 160 channels, nationwide IPTV service in Thailand.

UiTV plans to replicate this business model to other broadband service providers in Thailand and other APAC countries.

UTStarcom owns 49% of UiTV.

Competitive Advantages

UiTV launched several key advance features in its technology platform, including 4k video support as well as network based DVR.

UiTV is a multichannel service provider and is unique because UiTV owns the whole suite of platform technology that allows it to offer the best quality of service with unmatchable user experience. While most of the service providers have to rely on third parties to build their platforms, UiTV can improve its platform on a continued basis and thus, stay ahead of the curve.

The average viewing time for MeTV service in Thailand is up to the 5+ hours / day range, much higher than the Thailand average of 2hr 11 min as reported by Neilson in 2010.

low average churn rate for MeTV service is 0.7%, far below 2% industry average.

TOT covers 5+ million households in Thailand starting 2013, which will be huge potential customer base for MeTV.

In 2013, acquired UiTV, a provider of internet video service and has license to perform advertising business in China.

UiTV,Inc.

12

Overview

aioTV is a middleware platform and back-office tool set that enables video service providers to easily aggregate, authenticate and deliver multiple sources of live, on-demand and freely available video content directly to the customer in a single, branded experience to the TV and across connected devices.

UTStarcom owns 44% of aioTV.

aioTV signed an agreement with a strategic operator in the US that will launch the best Hispanic streamline service.

In Sep, 2014, aioTV received two US patents grant for unifying multiple sources of video content in a single experience

aioTV was selected as one of four vendors essential for all digital media business by Garner in “2013 Gartner Cool Vendors Report”.

CEO Michael Earle was named to CableFAX 2014 Digital Hot List which showcases those who have demonstrated innovation and progress in social media, digital distribution and app development.

Competitive Advantages & Awards

Market Opportunity Video as a percentage of total global consumer Internet

traffic will go from 56.5% in 2012 to 69% in 2017 (Source: Cisco Visual Networking Index, May 2013)

Global rate of OTT capable devices forecast to grow to from 1.7B to 2.7B by 2017 (Source: HIS, Consumer Electronics Topical Report, December 2013)

Frequent M&A in this segment indicating OTT video platform is highly in pursuit

Diversified Content Providers

Advertising Platform

Integrated with Adap.tv and its ad exchange that runs across multiple ad networks including Brightroll and Spotxchange

Other ad engines can be integrated to the AioTV platform

aioTV, Inc.

13

Fourth quarter total revenues were $32.9 million, compared to $38.3 million for the fourth quarter of 2013.

The twelve months total revenues were $129.4 million, compared to $164.4 million for the twelve months of 2013.

37.2

47.7

41.2 38.3

32.3 31.9 32.3 32.9

0.0

10.0

20.0

30.0

40.0

50.0

60.0

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

Total Revenue

US$ in millions

14

Gross Profit

Fourth quarter gross profit was $3.4 million, compared to $7.2 million in the fourth quarterr of 2013.

The twelve months gross profit was $22.1 million, compared to $40.2 million for the twelve months of 2013.

11.7

9.5

11.8

7.2

4.6

6.4

7.7

3.4

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

US$ in millions

15

Fourth quarter gross margin was 10.3 %, compared to 18.7% for the fourth quarter of 2013.

The twelve months gross margin was 17.1 %, compared to 24.5% for the twelve months of 2013.

31.4%

20.0%

28.7%

18.7%

14.2%

20.1%

23.9%

10.3%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

Gross Margin

16

Operating Expenses

Fourth quarter operating expenses were $9.5 million, decreased from $15.7 million for the fourth quarter of 2013.

The twelve months operating expenses were $36.2 million, decreased from $53.5 million for the twelve months of 2013.

15.3

10.9 11.6

15.7

7.9 9.2

9.6 9.5

0

2

4

6

8

10

12

14

16

18

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

US$ in millions

17

Operating Loss

Fourth quarter operating loss was $6.1 million, compared to operating loss of $8.6 million for the fourth quarter of 2013.

The twelve months operating loss was $14.1 million, compared to operating loss of $13.2 million for the twelve months of 2013.

-3.6

-1.2

0.2

-8.6

-3.3 -2.8

-1.9

-6.1

-10

-9

-8

-7

-6

-5

-4

-3

-2

-1

0

1

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

US$ in millions

18

Net Loss

Fourth quarter net loss was $14.2 million, compared to net loss of $16.1 million for the fourth quarter of 2013.

The twelve months net loss was $30.3 million, compared to net loss of $22.7 million for the twelve months of 2013.

-5.0

-2.0

0.4

-16.1

-3.3 -4.6

-8.2

-14.2

-18.0

-16.0

-14.0

-12.0

-10.0

-8.0

-6.0

-4.0

-2.0

0.0

2.0

2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4

US$ in millions

19

Ticker UTSI CYNI CALX RKUS INFN CIEN Peer Avg

Current Share Price 2.55 3.99 8.64 12.63 18.49 20.64

Market cap (Millions) 97 188 448 1077 2367 2235

Cash 78 52 112 199 326 744

Debt 0 18 0 0 117 1472

Book value per share 3.03 0.90 5.25 2.87 3.69 -0.42

Price-to-Book 0.84x 4.4x 1.6x 4.4x 5.0x N/A 3.9x

Enterprise Value 19 155 336 878 2158 2963

2016 Revenue 158 162 469 457 908 2628

2016 Gross Margin(%) 29% 42% 49% 69% 46% 43% 50%

2016 EBITDA 9.3 -22 45 80 137 348

2016 EBITDA Margin 6% -14% 10% 18% 15% 13% 14%

EV-to-Revenue 0.1x 1.0x 0.7x 1.9x 2.4x 1.1x 1.4x

EV-to-EBIDAS 2.0x NA 7.5x 11.0x 15.7x 8.5x 10.7x

Attractive Valuation

Unit: US$

Unit: US$

20

Outlook

The Company believes it is nearing the end of its transition and transformation. The Company expects total revenue in the first quarter of 2015 to be in the range

of $25 million to $30 million and anticipates double-digit growth in non-GAAP revenue for the full year.

The Company is fully committed to broadband as the driver of our business but new products are still in early stages of their product life cycle.

New higher quality and higher margin products are still in the early stage of their product life cycle and given a relative decline in carrier capital expenditure last year, including with our core customers, the uptake of these higher-end products has shifted from 2014 into the second half of 2015.

Will continue to work to mitigate the pressure on gross margin due to the headwinds from the depreciation of the Japanese yen against the U.S.dollar.

The Company will maintain a tight focus on financial controls.

The Company expects to deliver incremental improvements in non-GAAP operation income compared to 2014.