UTStarcom Pushing Audiovox Handset Bid

UTStarcom (UTSI Quote) is battling with South Korea's Curitel over the cell-phone division of Audiovox (VOXX Quote), according to people familiar with the talks.

No terms of the discussions were available, but the back-and-forth heated up in recent weeks after UTStarcom put a bigger bid on the table. Analysts estimate that the handset business -- known as Audiovox Communications -- could fetch as much as $200 million. There is also a chance that other bids may be tendered or that both suitors could walk away from a deal.

Representatives of Hauppauge, N.Y.-based Audiovox and Alameda, Calif.-based UTStarcom declined to comment.

UTStarcom, which has had success selling systems for portable local phone service in China, has been looking to expand into other areas of wireless technology. Industry observers say the Audiovox deal would give UTStarcom an immediate entry into the hot code division multiple access, or CDMA, cell-phone market. ...