UTStarcom ( UTSI) said Thursday that it signed a contract with China Telecom Group to supply 300,000 QBOX terminals to the PAS and fixed-line operator in China.

UTStarcom, an IP-based, end-to-end networking solutions and service provider, did not disclose the financial terms of the deal.

The QBOX enables fixed-mobile convergence by allowing subscribers to use their iPAS devices as digital cordless phones.

China Telecom will sell the QBOX for use with its homebox fixed-line/PAS convergence services, which is available in 24 Chinese cities.

Already about 300,000 users signed up for the service since its launch in the second half of 2005, the Alameda, Calif., company said.

The stock was up 19 cents, or 2.6%, to $7.42 in recent trading Thursday.
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