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Transmeta cuts jobs while Nasdaq posts a warning |
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Apr 03, 2007 at 12:21 PM |
The current state of affairs at Transmeta has followed in much the same vein as in the past few months. The company cut approximately 80 jobs in early February (see link below) and has recently announced that it has cut another 55 jobs, effective as of the 31st of March, 2007. The company now consists of 65 employees.
This story coincides with the news that Transmeta received a warning letter from the Nasdaq Stock Market on the 21st of March in relation to the "Minimum Bid Price Rule." This rule states that a company does not comply with Nasdaq's requirements for stock listing if the company's bid price of common stock closes below the minimum $1 per share requirement for 30 consecutive business days. Compliance with the rule can be regained if Transmeta's bid price closes at $1 or more for 10 consecutive business days before September 17th, 2007; if this does not happen, Nasdaq will write to inform Transmeta that its common stock will be delisted from the Nasdaq Stock Market.
Transmeta's plan, it seems, is to end engineering and microprocessor design activities and focus its efforts primarily on IP licensing. President and CEO Les Crudele added the following: "To further streamline our operations under our current business model, we expect to reduce our headcount by 15 to 20 percent during the second quarter of 2007."
http://www.fabtech.org/content/view/2439/126/
Transmeta is now a semiconductor technology licensing company.
By Sile Mc Mahon
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Going Places