PCTEL Licenses Segue™ Soft Access Point to Arcadyan

Leading PC Peripherals Manufacturer Selects Segue™ SAM to Integrate Wi-Fi Access Points With the PC

CHICAGO, Ill. & SUNNYVALE, Calif., Jan 14, 2004 - PCTEL, Inc. (Nasdaq:PCTI), a leading provider of intelligent wireless solutions, and Arcadyan Technology Corporation, a leading manufacturer and supplier of WLAN and WPAN peripheral products, announced today the signing of a licensing agreement for PCTEL's Segue™ SAM (soft access module) software. The agreement permits Arcadyan to bundle PCTEL's soft access point software with their WLAN devices.

Segue™ SAM software, when bundled with a supported Wi -Fi Network Interface Card or NIC, will convert any PC into a fully functional access point/router, thereby eliminating the costly need for external devices such as stand -alone routers and access points. Segue™ SAM's Intelligent Installer feature automatically scans the user's PC upon start -up and configures itself in seconds, taking the complexity out of installing and setting up a wireless network.

Arcadyan will bundle Segue™ SAM software, along with one of their industry leading WLAN devices as a value -added option. The bundled product will be available via PC -OEM sales and in the retail channel through Arcadyan's hardware networking retail customers. The bundled product will allow PC users to instantly set up a wireless broadband network through their computers with a single broadband connection, whether at home, the office or on the road. A broadband connection to a PC with Segue™ SAM immediately illuminates the area with Wi -Fi capability.

"This is a very positive achievement," said Engelbert van Pelt, Executive Vice President, Arcadyan Technology Corporation, the newly formed joint venture between Royal Philips Electronics and Accton Technology Corporation. "By bundling the Segue™ SAM software with our WLAN devices, we're adding to the growing list of WLAN products consumer PC users can just plug in and use. PCTEL's SoftAP product will compliment Arcadyan's UPnP™ technology based products, allowing the transmission of digital content from the PC and Internet into the living room."

"We are very excited that Arcadyan, a world leader in the WLAN / PC peripherals industry has selected the Segue™ SAM for their soft access point integration," said Biju Nair, PCTEL's Vice President and General Manager of its Segue operation. "The Segue™ soft access point continues the PCTEL tradition of replacing hardware with software, reducing costs for the industry, and simplifying the user experience."

About Segue SAM™

With Segue™ SAM installed on their notebook, a professional can instantly set up a wireless network with other participants at an offsite meeting. Enhanced security features ensure that file sharing and instant messaging remain secure and keep unauthorized devices off the network. For home users, Segue™ SAM eliminates the complexity of setting up a wireless network. The entire family can share a single broadband connection quickly and easily.

Segue™ SAM is delivered as a bundled solution from the manufacturers of retail 802.11 client adapters, licensed to 802.11 chipset suppliers and motherboard manufacturers as a value added option, or licensed for distribution to wireline broadband service providers as part of their home networking solution. For more information about Segue™ SAM, visit www.pctel.com.

About Arcadyan

Arcadyan is an exciting joint venture formed by parent companies, Accton Technology Corporation of Taiwan and Royal Philips Electronics of the Netherlands.

Established in summer of 2003, this joint venture brings the best of wireless infrastructure expertise and combines it with advanced A/V technology integration expertise. This winning combination creates an innovative approach to wireless product development. With an emphasis on optimizing audio and video quality, Arcadyan offers a robust product portfolio of wireless solutions. Arcadyan's products are based on state -of -the -art technology, including Wi -Fi (802.11), Bluetooth™ and other industry standards. Arcadyan delivers a full line of access points, home gateways, embedded solutions and multimedia receivers and blasters.

About PCTEL (Nasdaq: PCTI)

PCTEL, founded in March 1994, is a leading provider of Wi -Fi and cellular mobility software, software -defined radio products and access technology. PCTEL's products include WLAN software products (Segue™ Product Line) that simplify installation, roaming, Internet access and billing. Through its subsidiary, DTI, the company designs, develops and distributes OEM receivers and receiver -based products that measure and monitor cellular networks. Its MAXRAD subsidiary designs, develops, manufactures, and distributes innovative antenna solutions that facilitate and simplify wireless communications. The company protects its leadership position with a portfolio of more than 115 analog and broadband communications and wireless patents, issued or pending, including key and essential patents for modem technology. The company's products are sold or licensed to PC manufacturers, PC card and board manufacturers, wireless carriers, wireless ISPs, distributors, wireless test and measurement companies, and system integrators. PCTEL headquarters are located at 8725 West Higgins Road, Suite 400, Chicago, IL 60631. Telephone: 773 -243 -3000. For more information, please visit our web site at: http://www.pctel.com.

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