This paper describes the design challenges of BlueTraCTM, a low-cost, low-power radio transceiver. It details how a topdown methodology along with mixed-signal/mixed-mode techniques and behavioral modeling can be used to effectively address and solve the design challenges of this complex RF mixed-signal IC. The methodology leverages an out-of-the-box design flow from Mentor Graphics that includes Design Architect-IC for design entry and simulation control, Questa ADMS for single-kernel mixed-mode simulation, IC Station for schematic-driven physical layout, and Calibre for physical verification and extraction.