"On September 14, I described the "fabless" design
philosophy implemented by Transmeta, and how it might affect their
future as a processor manufacturer. I also tried to shed some light
on the cancellation of their licensing deals with IBM and Toshiba,
and how that action might undermine the Crusoe product."
"The three possible futures for Transmeta were classified simply
as "Good", "Bad" and "Ugly."
"Good: Pre-product buzz and smart design by computer
manufacturers will prove the success of Transmeta's code morphing
Bad: Dissolving agreements with IBM and Toshiba will cause
Transmeta to lose quality control of its "fabless" manufacturing
process, leading to poor quality silicon.
Ugly: Transmeta's technology will not deliver the advertised
results. Hardware vendors will implement the technology poorly,
generating bad product reviews. Dissolving the IBM and Toshiba
deals will cause revenue problems and generate doubt in the minds
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