Atheros Unleashes Next-Generation WLAN Technology to Deliver Expanded Performance and Possibilities

High Performance Total Home Coverage and Mobile Solutions Lead the Expanding Wi-Fi Market

CES CONFERENCE, LAS VEGAS, Jan. 5, 2006 – Atheros Communications, Inc. (NASDAQ: ATHR), a leading developer of advanced wireless solutions, today announced its ongoing drive to deliver the highest performance wireless LAN (WLAN) technologies for a wide array of markets and mobile devices, enabling an enhanced wireless user experience. At the 2006 International Consumer Electronics Show (CES), Booth 35357, the company is highlighting its latest developments in next-generation, high performance WLAN solutions, the mobile and Metro Wi-Fi markets, and simple, secure configuration for WLANs

Next-generation, High Performance Wi-Fi

Atheros is demonstrating its next-generation XSPAN® family of MIMO (Multiple Input Multiple Output) wireless solutions at its booth at CES. The new wireless products are capable of delivering 300 megabits-per-second (Mbps) data rates across the entire home environment using an innovative 3 x 3 transmitter/receiver architecture. A primary advantage of the unique three-radio solution is increased throughput and connection reliability at greater range. The solution’s enhanced performance at range enables a wide array of new consumer wireless applications throughout the home. To best serve consumer needs, next-generation WLAN products must interoperate across multiple vendors and market segments. To advance this objective, Atheros is a founding member of the Enhanced Wireless Consortium (EWC) [1] and is a strong proponent of accelerating interoperable next generation 802.11n wireless LAN technologies.

Mobile Wi-Fi Applications

Atheros’ ROCm® platform for mobile Wi-Fi applications, also featured in the company’s CES booth, is garnering momentum in every major mobile market segment. The Atheros AR6001 family of WLAN solutions is based on a highly compact, power-efficient, single and dual-band single-chip design. Since its launch in May, the AR6001 family has achieved design wins with leading Original Equipment Manufacturers (OEMs) in every major segment of the mobile category including  dual-mode cellular phones, smart phones/personal digital assistants, single-mode VoIP phones, mobile gaming devices, digital cameras and camcorders.

Metro Wi-Fi  

Atheros is the leading silicon provider enabling the Metro Wi-Fi trend that is rapidly spreading around the world. There are more than 300 cities in over 30 countries that either already offer metro wireless high-speed Internet access or are in the process of building out a Metro Wi-Fi network. From Philadelphia to Tokyo, Atheros’ 802.11a/g and 802.11g wireless chips are featured in the majority of outdoor wireless infrastructure equipment. Atheros delivers high performance, increased speed and longer range, using advanced features like Super AG®, Super G® and Atheros XR® (eXtended Range). Additionally, Atheros technology provides robust security based on the IEEE’s 802.11i standard and supports the 4.9GHz band for public safety and 5.8GHz for telematics – wireless vehicular applications.

Easy-to-configure Wireless Security

Atheros is also demonstrating JumpStart for Wireless™ 2.0 in its booth. The push-button, simple  WLAN configuration feature works on all types of wireless-enabled devices including consumer electronics, handheld products, networking equipment and notebook PCs. JumpStart provides business-grade security for consumer WLANs by using the security industry’s widely adopted Diffie-Hellman Key Exchange, user device authentication and the latest Wi-Fi security standards, AES and WPA2. Atheros introduced JumpStart at last year’s CES and then open sourced the technology in May 2005 to support easier adoption and integration into new wireless products. JumpStart is forward compatible with Windows Vista™ Wireless Connect Now and the highly anticipated Wi-Fi configuration standard.

“Advances in Wi-Fi technology – dramatically increased speeds, total home coverage, reduced size and greater power efficiency combined with the freedom of wireless – are quickly driving wireless LAN to mainstream technology status,” said Todd Antes, vice president of marketing for Atheros. “Wi-Fi has the potential to impact everything digital – how we communicate, work and entertain. We are pleased to offer this new level of performance and possibilities to our customers to enable their delivery of innovative and effective wireless solutions to consumers and enterprises.”

About Atheros Communications, Inc.

Atheros Communications is a leading developer of semiconductor system solutions for wireless communications products. Atheros combines its wireless systems expertise with high-performance radio frequency (RF), mixed signal and digital semiconductor design skills to provide highly integrated chipsets that are manufacturable on low-cost, standard complementary metal-oxide semiconductor (CMOS) processes. Atheros technology is being used by a broad base of leading customers, including personal computer and networking equipment manufacturers. For more information, visit www.atheros.com or send email to info@atheros.com.

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Atheros, the Atheros logo, XSPAN, ROCm, Super AG, Super G, eXtended Range and JumpStart for Wireless are trademarks of Atheros Communications, Inc. All other trademarks mentioned in this document are the sole property of their respective owners.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements regarding the features, performance and benefits of Atheros’ XSPAN family of MIMO products, its ROCm products, and its Jumpstart for Wireless 2.0; the future success of ROCm products in embedded market segments; the anticipated growth of metro Wi-Fi networks and the use of Atheros’ products in the infrastructure of these networks; and the expected adoption of WLAN solutions into new consumer applications as a result of the advancements in Wi-Fi technology, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, difficulties in development and manufacture of new products and upgraded products; unforeseen problems in the performance of the XSPAN family of MIMO products upon volume production and broad deployment; whether the currently proposed EWC specification will be adopted as the MIMO standard; the effects of competition and technological developments that could affect the adoption of wireless LAN technology in new consumer wireless applications; global economic conditions; whether Atheros is successful in marketing its products in its current and in new markets, including in mobile embedded markets, metro mesh networks and consumer wireless applications; and other risks detailed in Atheros’ Quarterly Report on Form 10-Q for the quarter ended September 30, 2005 as filed with the Securities and Exchange Commission and in other reports filed with the SEC by Atheros from time to time. These forward-looking statements speak only as of the date hereof. Atheros disclaims any obligation to update these forward-looking statements.