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Avnera has developed two chips that it says will help lower the cost and improve the performance of existing wireless speakers.

The company's VoiceMagic and AudioMagic chips essentially integrate all of the components--radios, analog-to-digital converters--needed for wireless communications on a single piece of silicon. Integration allows the company to get the price for a pair of its chips (one that receives and one that transmits) for $14 or less.

This prototype headset allowed CNET News.com's Michael Kanellos to get CD-quality sound about 100 feet from the source. There was also a wall and a corner between the headset and the source of the music, a notebook. The device can also be used as a VoIP headset. It will cost about $99.

Captions by Michael Kanellos/CNET News.com

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