economy - UTstarcom starts lay-offs

UTstarcom used to be one of my favorite companies, small, smart management and seemingly having the right product, the xiaolingtong, a cheaper edition of the mobile phone. Because the xiaolingtong did not offer worldwide roaming services, but was an extention of your fixed line, it could offer mobiles much cheaper than the traditional companies.
But before Springfestival they started to lay off up to 15 pecent of their work force, notes Pacific Epoch. Their major customers China Telecom and China Netcom have been reducing their purchages of equipment. It is a worldwide trend, caused by the consolidation in the industry.