Wireless with Atmega 328

I am working on a project in which I will be trying to get 2 Atmega 328s to connect to each other wirelessly. So I was curious if anyone on here had any recommendations or tips from when you've done this. I don't think I will need more than 40ft of range, so I was looking at this but I'm not even sure if it would work with the 328. I will also have 2 digital temperature sensors (each using 1 I/O pin) and an LCD that will use 11 I/O pins (I think).

Thanks!

That could work but for about 7$ free shipping you can get a pair of nrf24l01 off ebay and use them for simple communications(transceiver ) you simply send and receive a specified byte package, max 32 (convienient size for 16x2 lcds) I bought about 5 since they are so cheap and pretty easy to use, they use the mosi,miso,ss,and a cs pin so on a atmega328 I think that's 9,10,11,and one chip select that you pick, I usually do 8 also its powerd from3.3v its range is decent, only got sketchy(not 100% of the time) for me 50ft away on another floor I've also used a btmodule -> serial off ebay for 10$ which acts as a serial link which may be simpler to use, but I've only used it as slave so idk

Thanks for your reply! Are there any software libraries available for the nrf24l01? I am on a compressed timeline, and I would really like to make use of as many libraries as possible.

http://maniacbug.github.com/RF24