Losses deepening at chip maker...
The problems are mounting for Transmeta after the chip company reported widening losses for its fourth quarter results.
The company posted a loss of $49.7m, or 38 cents per share, for three months ended 28 December. This compares with a loss of $26.2m, or 30 cents per share, in the corresponding quarter 12 months ago.
However, despite the loss, the company said it expects to bounce back in the current quarter and predicted its revenues will at least double on the back of increased demand.
The low-energy processor company, which is backed by Linux creator Linus Torvalds, has experienced manufacturing problems with its flagship Crusoe chip in recent months and admitted it could not meet demand.
The company specialises on designing chips for laptops that consume less battery power than processors from rivals like Intel and AMD. Two of Transmeta's first customers following its launch were Sony and Toshiba who installed the company's chip in their laptops.
The company reported revenues of $1.5m for the quarter, better than the $1m it predicted in mid-December but a big drop from the $12.4m it reported during the same period in 2000.
The company said it expects revenues of between $3.5m and $4m for Q1 2002 and operating expenses of around $26m.
Transmeta CEO Murray Goldman said in a statement that the company is "meeting the milestones of the recovery plan that resolve the issues that caused changes to [its] Crusoe TM5800 shipping schedule".
In October, the company axed its CEO Mark K Allen after just seven months in the hot seat.