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A compact monopole-slot antenna with polarization diversity is proposed for wireless local area network (WLAN) applications. Dual polarization is provided by a ground-folded monopole and a slot cut from the folded ground. The total volume of the proposed antenna is only 50 × 16 × 16 mm3 (0.4 λ0 × 0.128 λ0 ×0.128 λ0). However, low mutual coupling is achieved due to the orthogonal modes of current distribution on the ground. A prototype of the proposed antenna is built and tested. The obtained results include the S parameters, radiation patterns and radiation gain. The results from our presentation match with the simulation and demonstrate an isolation better than -36 dB in the required band.