Transmeta, which once challenged Intel and AMD with low-cost processors for desktops and notebooks, has agreed to sell what remains of its intellectual property and other assets to Novafora, a company that makes video chips. Transmeta announced in September that it planned to sell off its intellectual property, which included the energy and power saving features of Transmeta's LongRun 2 microprocessor chip technology.
Transmeta, which once pursued Intel
with low-power processors for notebooks and desktops, has
agreed to sell its remaining intellectual property and assets for $255.6
On Nov. 17, Transmeta announced that it had agreed to sell
its intellectual property to Novafora, a fabless,
privately held semiconductor company that is developing digital video processors
The deal is expected to close in the first quarter of 2009 and requires
approval by the boards of both companies.
executives announced in September
that they were putting the business up
announcement that Transmeta would sell off the remainder of its intellectual property
and merge with Novafora
brings an end to a storied semiconductor company
that once challenged Intel with a line of low-power x86 processors that held
the promise of better battery life and other benefits for PCs.
While Transmeta's innovation helped shine a spotlight on the
company, it also forced Intel to shift gears and the chip giant began
developing new, low-power processors which began taking business away from
Transmeta. Eventually, Transmeta
moved away from designing chips
such as the Crusoe processor and focused on
revenues from its LongRun and LongRun 2 technologies, which allow for dynamic
control of the frequency, voltage and transistor leakage within a
Transmeta later filed a patent infringement lawsuit against
Intel and won a settlement.
In addition to announcing the sale of the company Monday,
Transmeta inked a new, non-exclusive patent licensing deal with AMD.
Under the agreement, AMD will transfer to
Transmeta 700,000 shares of Transmeta's Series B preferred stock that is now
held by AMD.
The agreement with Transmeta will also work with The
Foundry Company, which is the new business that formed when AMD spun off its manufacturing
division in October
. Under the agreement with Transmeta, The Foundry
Company's license covers the manufacturing of processors and related operations,
while the AMD license covers the design,
manufacture and sale of processors, said Michael Silverman, an AMD