IBM cancels Crusoe laptop

IBM had planned to use Transmeta's low-energy Crusoe microprocessor chips in its ThinkPad 240 laptop personal computers, and had even demonstrated a Crusoe laptop at the PC Expo trade show in New York in June. Originally, IBM said they would start shipping by the fourth quarter of 2000.

"The only thing we can say is that it is only this one project, and that we're continuing to look for ways to lower the energy costs for consumers," said Rick Bause, an IBM spokesman. "We will continue to look at Transmeta on an ongoing basis."

Sony released a laptop with the Crusoe chip in the US -- the Vaio C1 PictureBook -- one week ago. NEC and Hitachi also have Transmeta-powered computers, but only in Japan and in limited quantities.

IBM Microelectronics manufactures the Crusoe processors for Transmeta, which is a so-called fabless semiconductor company with no production facilities of its own. Transmeta relies on IBM for substantially all of its assembly and test services, and as a result, it does not directly control its product delivery schedules, according to Transmeta's filings with the US Securities and Exchange Commission.

Transmeta has plans in place to make its initial public offering on the US NASDAQ exchange on Monday, according to a spokeswoman from Morgan Stanley Dean Witter, the chip maker's underwriter.

A Transmeta spokeswoman said she could not comment on the IBM change of plans, citing the SEC "quiet period" rules preceding an IPO.

However, the company's SEC filings indicate Transmeta anticipated using $US2.5 million of the net proceeds from this offering to make a payment to IBM that is payable within 30 days of the offering. Transmeta has agreed to pay IBM a total of $US38 million over the next four years and fixed the conversion rate of a convertible promissory note issued to IBM at 1,200,000 shares of its common stock, according to their filings. Transmeta owes IBM $US5 million in 2000, $US4.0 million in 2001, $US6.0 million in 2002, $US7.0 million in 2003 and $US16.0 million in 2004.

License fees from IBM and Toshiba constituted substantially all of Transmeta's revenue in 1997, 1998 and 1999, according to the document.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments

Cool Tech

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Breitling Superocean Heritage Chronographe 44

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?