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Even though financial condition of Advanced Micro Devices is far from being positive, the company has decided to support Transmeta Corp. with a strategic investment to help the smaller chip designer to proceed with the development of its power-saving technologies, which may eventually be used by AMD as well.

Transmeta Corp. will receive $7.5 million from AMD in exchange for Transmeta preferred stock.

“Transmeta has been an innovative force in the industry for more than a decade. […] Our investment will support Transmeta’s technology development work and AMD’s efforts to leverage Transmeta’s innovative energy-efficient technologies to the benefit of AMD’s customers,” said Dirk Meyer, president and chief operating officer of AMD.

Even though the results of the transaction are not announced, it is highly likely that AMD may eventually secure certain patents from Transmeta on power-saving technologies, which will allow the company to implement them into its own designs as well as to ban their usage by Intel Corp., with which Transmeta already has a legal dispute, in case Transmeta ceases to exist.

Discussion

Comments currently: 2
Discussion started: 07/09/07 07:30:59 AM
Latest comment: 07/09/07 04:09:06 PM

[1-2]

1. 
Aren't they in enough deep shite anyway?
Are they just eager to a bankrupt themselves?
[Posted by: huh  | Date: 07/09/07 07:30:59 AM]

2. 
I'm glad that AMD is looking elsewhere for 'technology'. I was kinda bummed when Transmeta quit making CPU's. AMD should just buy the company and rework Crusoe over a little.
[Posted by: ViaSisUliFANboy  | Date: 07/09/07 04:09:06 PM]

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