PCTEL Enters 802.11

PCTEL of Milpitas, CA has signed an agreement to purchase privately-held cyberPIXIE of Chicago for approximately $2.0 million. It’s a move that puts the Internet access solution provider of analog soft modems and embedded DSP modems into the land of 802.11 wireless networking as it acquires cyberPIXIE’s WLAN software products.

The products include the WLAN installation wizard for getting 802.11-based network interface cards up and running with automatic recognition with no user input, a roaming client application that automatically connects to any WLANs in senses, and a network gateway server that lets wireless providers set up for visitor Internet access while making sure users are authenticated and billed appropriately.

PCTEL was already in development of multi-mode 80211a/b/g products. Vice president and general manager Biju Nair said in the announcement that with this purchase, “PCTEL will hold a portfolio of WLAN products to meet the needs of our existing customers and that will address the requirements of the wireless carrier, ISP and enterprise markets. We intend to enable a seamless wireless experience.”

Once the acquisition is closed, cyberPIXIE will no longer operate as a separate company and all products and the development team will become part of PCTEL.

PCTEL has had a mixed year, settling two patent lawsuits (one in its favor, another requiring a $14 million dollar cash payment) and seeing first quarter revenue of $10.3 million, up from $7.5 million in the last quarter of 2001. Earlier this month, PCTEL terminated its use of Arthur Andersen LLP as its independent auditors, moving to PricewaterhouseCoopers LLP.