Atheros Super AG® Technology Used for Hitachi Cable’s Outdoor Wireless LAN System

First Outdoor System to Support Dual-Band 802.11a/g

SUNNYVALE, Calif., Oct. 27, 2004 – Atheros Communications, Inc. (NASDAQ: ATHR), a leading developer of advanced wireless LAN (WLAN) chipsets, today announced that the Atheros AR5002AP-2X chipset has been used in Hitachi Cable Ltd.’s new ALP303 Series outdoor WLAN system. The ALP303 Series is Japan's first outdoor WLAN system that provides dual-band support for the 802.11a and 802.11g standards, with operation from 2.4GHz to 2.472GHz and 4.9GHz to 5.1GHz. The product also supports Atheros’ Super AG® high-throughput technology.

Super AG® enables 802.11a/g-based high-speed outdoor WLAN communication, which can solve the problem for last-mile connections or communication between isolated islands. The product also can be used for communication between public facilities. Super AG® delivers the maximum 54 Mbps data link rate (average user throughput of 30 Mbps), offering users fast and convenient outdoor WLAN service. The ALP303 Series is available from Hitachi Cable starting Sept. 30, 2004.

“We are very pleased Hitachi Cable has announced Atheros-based dual-band a/g outdoor products,” said Dr. Tomoki Ohsawa, general manager of Atheros Communications K.K. “Atheros has been focusing on the 802.11a standard since our foundation. Our chipset used by Hitachi Cable supports the 4.9GHz to 5.09GHz bandwidth, an area where Atheros is ahead of our competition. To improve user’s convenience, we will continue to offer support for 802.11a, including the 5.47GHz to 5.725GHz band, which is expected to be deregulated by the Japanese government in the near future.”

About Super AG® Technology

Atheros’ Super AG® technology employs innovative performance-enhancement features—including packet bursting, fast frames, and data compression—that improve the throughput and range of wireless networking products. Super AG® supports up to 54 megabits-per-second (Mbps) data link rates for users in Japan, with typical end-user throughputs as high as 40 Mbps. Outside Japan, with an additional dynamic turbo mode activated, the technology can achieve throughputs of more than 60 Mbps for typical data.

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

# # #

Atheros, the Atheros logo, and Super AG® are trademarks of Atheros Communications, Inc.  All other trademarks mentioned in this document are the 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, capabilities and benefits of Atheros’ and Hitachi’s products; the incorporation of Atheros’ wireless technology into Hitachi’s outdoor WLAN system; and the expected deregulation by the Japanese government of the 5.47GHz to 5.725GHz band in the near future, 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, whether Hitachi continues to incorporate Atheros’ products into its outdoor WLAN systems; the effects of competition; general economic conditions in Japan; changes in the regulatory environment in Japan and whether the Japanese government determines to deregulate certain radio frequency bands; and other risks detailed in Atheros’ Quarterly Report on Form 10-Q for the quarter ended June 30, 2004 as filed with the SEC 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.

For press and analyst inquiries contact: Cheryl Patstone, 408-773-5344, cheryl@atheros.com or Greg Wood, A&R Partners, 650-762-2838, gwood@arpartners.com.