Transmeta (Semiconductor) (TMTA)

[weaksidehelp]

gl: "I would venture to guess that Transmeta has endeared itself to many OEM's by actually doing much of the IC design in many potential products."

Hi glanta, nice to hear from you. Your comments are in line with what I was thinking. The most recent 10Q for TMTA discusses at some length the prospects for IC and system design services both as ancilliary to the sale of chips and as a profit center. Eg, I suspect that a lion's share of the design work for the OQO was done by Transmeta engineers. This may well be the case also for the HPQ Tablet PC.

Such work by TMTA helps of course in the sale of chips, but it also ensures that the products delivered by the OEMs are state of the art in terms of integration, energy efficiency, and battery life. This ends up making the Crusoe look good as it powers a product with a competitive advantage.

regards, wsh