Transmeta Looks For a Different PC Boom

Low-power chipmaker Transmeta is silently
helping to shift the way you access the Web.

In the past few months, the Santa Clara, Calif.-based firm has
scored
several contracts to put its processors in not only laptops, but also in non-traditional desktop hardware as well as thin clients

Low-power chipmaker Transmeta is silently
helping to shift the way you access the Web.

In the past few months, the Santa Clara, Calif.-based firm has
scored
several contracts to put its processors in not only laptops, but also in non-traditional desktop hardware as well as thin clients
, blade PCs, Tablet PCs and what the company calls
“Ultra Personal Computers”.

Last week alone, Transmeta inked deals to put its new TM8000
Efficeon
chip in products made by Hewlett-Packard and Wyse
Technology.

HP’s deal is a new blade PC running Microsoft Windows XP Pro. The
system
is expected to debut in the United States and Canada in at the first
quarter
of 2004. HP is conducting pilot programs in both countries. The Palo
Alto,
Calif.-based computer and printer maker is using the blade PC as part
of its
Consolidated Client Infrastructure (CCI). The configuration consists of
an
HP Thin Client that connects to a network with a secure login to a
blade PC
with network storage located in a centralized data center.

“The low thermal characteristics of the Transmeta Crusoe processor
allow
HP to design extremely small enclosures without the need for cooling
fans,”
Transmeta senior vice president of marketing Art Swift.

The two companies have worked before, most notably through their marquee supply
deal
for HP’s Compaq Evo Tablet PCs.

That partnership was extended
in
September as HP again tapped
Transmeta for its Compaq t5300 and t5500 thin clients. The package deal
supports recent data from analyst firm IDC: the enterprise thin client
market continues to grow at a solid 22.8 percent compounded rate with a
forecast of 1.86 million units for 2004 and an expected 3.4 million
units to
ship in 2007.

Transmeta’s traction is staggering considering the chipmaker goes
head to
head with the likes of Intel with its Pentium 4
Mobile
and Centrino chipsets as well as AMD with its Althon
XP
mobile processors
.

But its strategy is aimed at the next sweet spot in the enterprise.

“The adoption rate of non-PC desktops is growing at a rapid pace due to the changing needs of organizations to access server or Internet-based information in a cost-effective way,” said IDC research director Bob O’Donnell. “Across almost all business sectors, the server-centric computing
model is delivering both business and cost benefits such as increased
reliability, advanced remote management and the simplified deployment
of new
users and software. This benefits organizations by reducing costs,
diminishing downtime and ultimately saving businesses millions of
dollars in
IT spending.”

Wyse’s deal also speaks to the thin client form factor as the San
Jose,
Calif.-based manufacturer said it would collaborate with Transmeta to
develop Crusoe and Efficeon-based non-PC desktops. server-centric
computing.

“The personal computer is clearly no longer the only desktop of
choice
for information access, as thin clients, handheld PDAs, smart phones
and
blade PCs all present suitable alternatives depending on an
enterprise’s
needs,” Wyse vice president of worldwide marketing George Skaff said.

“Today, CIOs and CTOs understand it is less important where
information resides and more important to deliver cost-effective access to the information.”

Transmeta is also working to bring a new form factor to market. Known as “Ultra Personal Computers” or “Mobile Computer Core”, the wallet-sized CPU and memory device can pop in and out of a dummy terminal on a desktop and then be carried around and accessed like a PDA. The company is
working closely with San Francisco-based OQO and Denver-based Antelope
Technologies, which is expected to show off its modular computing
device at
the CES show in Vegas next month. OQO was expected to ship its first
round
of products back in September, but is only currently taking advance
orders.

Intel and AMD are also talking up their versions of a low-power
processor
for non-PC forms. Intel wrote the book on much of the thin client space
and
uses its Pentium lineup as its core model. The chipmaking giant has
turned
to its Centrino technology as its strategy for placement in Tablet PCs
by
Gateway, Acer and Motion Computing.

AMD’s K6-2e and K6-IIIe embedded processors for thin clients,
point-of-sale terminals and telecom devices have been out for several
years
now.

O’Donnell has said that the growth of non-PC adoption is understandable when one considers that the
thin
client space has a compelling value proposition for the enterprise
market
and that the devices can be deployed quickly in volume and are easily
maintained.

, blade PCs, Tablet PCs and what the company calls
“Ultra Personal Computers”.

Last week alone, Transmeta inked deals to put its new TM8000
Efficeon
chip in products made by Hewlett-Packard and Wyse
Technology.

HP’s deal is a new blade PC running Microsoft Windows XP Pro. The
system
is expected to debut in the United States and Canada in at the first
quarter
of 2004. HP is conducting pilot programs in both countries. The Palo
Alto,
Calif.-based computer and printer maker is using the blade PC as part
of its
Consolidated Client Infrastructure (CCI). The configuration consists of
an
HP Thin Client that connects to a network with a secure login to a
blade PC
with network storage located in a centralized data center.

“The low thermal characteristics of the Transmeta Crusoe processor
allow
HP to design extremely small enclosures without the need for cooling
fans,”
Transmeta senior vice president of marketing Art Swift.

The two companies have worked before, most notably through their marquee supply
deal
for HP’s Compaq Evo Tablet PCs.

That partnership was extended
in
September as HP again tapped
Transmeta for its Compaq t5300 and t5500 thin clients. The package deal
supports recent data from analyst firm IDC: the enterprise thin client
market continues to grow at a solid 22.8 percent compounded rate with a
forecast of 1.86 million units for 2004 and an expected 3.4 million
units to
ship in 2007.

Transmeta’s traction is staggering considering the chipmaker goes
head to
head with the likes of Intel with its Pentium 4
Mobile
and Centrino chipsets as well as AMD with its Althon
XP
mobile processors
.

But its strategy is aimed at the next sweet spot in the enterprise.

“The adoption rate of non-PC desktops is growing at a rapid pace due to the changing needs of organizations to access server or Internet-based information in a cost-effective way,” said IDC research director Bob O’Donnell. “Across almost all business sectors, the server-centric computing
model is delivering both business and cost benefits such as increased
reliability, advanced remote management and the simplified deployment
of new
users and software. This benefits organizations by reducing costs,
diminishing downtime and ultimately saving businesses millions of
dollars in
IT spending.”

Wyse’s deal also speaks to the thin client form factor as the San
Jose,
Calif.-based manufacturer said it would collaborate with Transmeta to
develop Crusoe and Efficeon-based non-PC desktops. server-centric
computing.

“The personal computer is clearly no longer the only desktop of
choice
for information access, as thin clients, handheld PDAs, smart phones
and
blade PCs all present suitable alternatives depending on an
enterprise’s
needs,” Wyse vice president of worldwide marketing George Skaff said.

“Today, CIOs and CTOs understand it is less important where
information resides and more important to deliver cost-effective access to the information.”

Transmeta is also working to bring a new form factor to market. Known as “Ultra Personal Computers” or “Mobile Computer Core”, the wallet-sized CPU and memory device can pop in and out of a dummy terminal on a desktop and then be carried around and accessed like a PDA. The company is
working closely with San Francisco-based OQO and Denver-based Antelope
Technologies, which is expected to show off its modular computing
device at
the CES show in Vegas next month. OQO was expected to ship its first
round
of products back in September, but is only currently taking advance
orders.

Intel and AMD are also talking up their versions of a low-power
processor
for non-PC forms. Intel wrote the book on much of the thin client space
and
uses its Pentium lineup as its core model. The chipmaking giant has
turned
to its Centrino technology as its strategy for placement in Tablet PCs
by
Gateway, Acer and Motion Computing.

AMD’s K6-2e and K6-IIIe embedded processors for thin clients,
point-of-sale terminals and telecom devices have been out for several
years
now.

O’Donnell has said that the growth of non-PC adoption is understandable when one considers that the
thin
client space has a compelling value proposition for the enterprise
market
and that the devices can be deployed quickly in volume and are easily
maintained.

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