Summary: In this paper, we discuss the role of physical (PHY) layer in realization of energy-aware wireless communication systems. With an energy consumption model for a wireless link between a transmitter and a receiver, we discuss a dominant factor to reduce energy consumption and show that, to reduce energy consumption, we should adopt an energy-efficient circuit architecture and modulation/detection scheme, even allowing a little degradation of packet error rate. Finally, we show that wide band signal transmission has a potential to realize not only high data rate transmission but also low energy consumption in wireless communication systems.