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Transmeta Crusoe and Efficeon processors to live in China
Posted on 31-May-2005 22:34 | Tags Filed under: News


Transmeta Crusoe and Efficeon processors to live in China
Transmeta Corporation has signed asset purchase and license agreements with Culture.com Technology Limited (Culturecom), a Hong Kong based technology company.

Transmeta has agreed to sell, through a combination of asset purchase and licensing agreements, its Crusoe product line to Culturecom. As part of this agreement, Culturecom will also license Transmeta's 130-nanometer Efficeon technology to make and sell Efficeon-based products in China. According to Transmeta, Culturecom will make up-front cash payments of US$15 million. In addition to the up-front payments, Culturecom will also pay royalties to Transmeta on sales by Culturecom of Crusoe and Efficeon products. The transaction is scheduled to close in the fourth quarter of 2005.

As part of this transaction, Culturecom will also enter into an engineering services agreement with Transmeta to facilitate the transfer of the technology. Previously, Culturecom licensed Transmeta's Midori Linux for the development of embedded applications and, in conjunction with that license, Transmeta acquired, and continues to own, a minority equity stake in Chinese 2 Linux (Holdings) Limited, an affiliate of Culturecom.

Transmeta will continue to manufacture its Crusoe and 130-nanometer Efficeon products until the transaction closes, and will complete fulfillment of existing backlog in the subsequent transition period. As previously announced, Transmeta will continue to support its 90-nanometer Efficeon processors for Transmeta's strategic partners.




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