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eWeek: Compaq denies it ditched Transmeta chip

Nov 08, 2000, 20:40 (0 Talkback[s])
(Other stories by Ken Popovich)

"Transmeta Corp.'s initial public offering Tuesday may have been a success, with the stock nearly doubling in value, but the news for the Silicon Valley startup wasn't all good as reports swirled that Compaq Computer Corp. had withdrawn plans to use Transmeta's chips -- reports the PC maker derided as "ludicrous."

"Citing unnamed sources, the reports alleged that Compaq canceled plans to feature the chip in its Armada notebook line. The news took on added significance coming just a week after IBM officials confirmed that the company had delayed plans, first announced in June, to introduce Transmeta's low-power 600MHz Crusoe chip in a new ThinkPad 240 later this year."

"But Compaq executives strongly denied assertions they had canceled any Crusoe plans."

"That's totally inaccurate," said one Compaq executive Tuesday. "Despite all the noise today, Compaq has not made any decisions in the last few weeks that would support the contentions made by anonymous sources in news reports."

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