ATHR Atheros Communications, Inc. (MM)

Atheros Communications, Inc. (NASDAQ: ATHR), a global leader in innovative technologies for wireless and wired communications, today announced expanded Hy-Fi™ hybrid networking solutions that integrate its leading Wi-Fi, HomePlug® AV and Ethernet connectivity technologies to ensure HD content delivery to fixed and mobile devices anywhere in the home. The expanded Hy-Fi solutions include hardware reference designs that incorporate performance, power and cost improvements, along with advanced software algorithms to deliver easier installation, highly reliable connectivity, substantially increased aggregate bandwidth and greater home coverage. The solutions also incorporate SmartLink™, a new powerline technology that increases coverage by transferring data across all three electrical wires -- line, neutral and ground -- to deliver seamless multi-room HD video experience without the need for additional wiring inside the home.

The expanded Hy-Fi solution is part of Atheros' hybrid portfolio, an industry-leading approach to helping consumers solve the home networking issues they face today such as complicated installation, spotty coverage and inadequate bandwidth for media applications. Atheros is combining the strengths of Wi-Fi, powerline and Gigabit Ethernet technologies to achieve best-in-class performance and coverage. This innovative combination of wired and wireless technologies boosts network bandwidth and coverage in every home environment and its simplified network setup makes it easy for consumers to use.

Key Facts:

• The new Atheros APH126 Hy-Fi reference design offers a range of connectivity configurations that allow OEMs to create a variety of hybrid networking products at the targeted price/performance.
• The solution features advanced hybrid networking algorithms for intelligent path selection, load balancing and smooth path switching. As such, the Atheros Hy-Fi solution is the first of its kind to feature continuous HD viewing and the ability to balance video streams over more than one medium.
• Atheros is developing its Hy-Fi software algorithms in accordance with the developing IEEE 1905.1 specification, which is intended to define an abstraction layer for multiple home networking technologies. The IEEE 1905.1 specification provides a common data and control service access point to the heterogeneous home networking technologies described in IEEE P1901, IEEE 802.11, IEEE 802.3 and MoCA 1.1. The standard is extendable to work with other home networking technologies.
• The new Atheros Hy-Fi reference designs are based on the industry-leading AR9344, which integrates dual-band 802.11n and a rich set of peripheral interfaces and network processor into a single system-on-a-chip.
• A second 802.11n radio may be added to support dual-band, dual-concurrent configurations and wireless data rates up to 450 Mbps at 5 GHz.
• The new designs also incorporate the AR7400 500+ Mbps powerline communications (PLC) transceiver IC, which enables the world's smallest, highest performing and lowest power HomePlug AV/IEEE 1901-compliant products.
• To further expand powerline performance and range, Atheros SmartLink™ technology increases powerline coverage by up to 50 percent in previously hard-to-reach outlets, thereby providing increased bandwidth at all outlets in the home.
• The reference design also supports the Atheros AR8327, a five-port Gigabit Ethernet switch for full Gigabit WAN/LAN routing.
• An innovative integrated power supply couples powerline signals onto the AC line while providing efficient power, elegant industrial design and reduced system costs. The power supply supports universal voltage range (100VAC - 240VAC) to enable products that work in any country in the world.
• General availability of the new Hy-Fi reference designs is expected in third quarter of 2011.

Supporting Quotes:

Dan Rabinovitsj, senior vice president and general manager, networking business unit, Atheros Communications: "With the increasing popularity of digital media applications and services, consumers require networking solutions that adapt to their environments and personalized needs. Our latest solutions are robust offerings that provide high performance connectivity by leveraging the best of what wired and wireless networks have to offer."

Mark Hung, research director, semiconductors, Gartner: "Connected devices in the home will grow rapidly over the next few years. Through a combination of wired and wireless networks, billions of new devices will be connected to the Internet and to each other. Continuing innovations and enhancements in hybrid networking technology that simplify installation and increase efficiency will further accelerate consumer adoption of connected devices."

Additional Resources:

• Atheros Hybrid Technology: http://www.atheros.com/technology/technology.php?nav1=50
• Atheros Hy-Fi Networks: http://www.atheros.com/networking/feature.php?feature=14
• IEEE Standards Association P1905.1: http://standards.ieee.org/develop/project/1905.1.html

About Atheros Atheros Communications delivers innovative technologies for wireless and wired communications. Its mission is to invent technologies that connect and empower people in ways that are elegant and accessible to all. Building upon its broad expertise in RF and mixed signal semiconductor design, Atheros' portfolio includes a wide variety of connectivity solutions that are used by many of the world's leading networking equipment, computing and consumer device manufacturers. Headquartered in San Jose, California, Atheros has a significant and growing presence in Asia and Europe to serve its global customer base. For more information, visit www.atheros.com.

Atheros, the Atheros logo, Hy-Fi and SmartLink are trademarks of Atheros Communications, Inc. HomePlug is a registered trademark of the HomePlug Powerline Alliance. All other trademarks mentioned in this document are the sole property of their respective owners.

NOTE ON FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including the features, benefits and performance of Atheros' products and technologies, the expected growth of consumer adoption of connected devices, and the expected availability of Hy-Fi reference designs in the third quarter of 2011, 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 the development of new and enhanced products, general economic conditions, the effects of competition and technological change, and the risks detailed in Atheros' Annual Report on Form 10-K for the year ended December 31, 2010, as amended, and its Quarterly Report on Form 10-Q for the quarter ended March 31, 2011, 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.

Editorial Contact: Laurie Falconer Atheros Communications 408-616-3036 laurie.falconer@atheros.com Investor Contact: David H. Allen Atheros Communications 408-830-5762 david.allen@atheros.com