Video-chip producer Novafora has agreed to buy once high-flying chip maker Transmeta for $255.6 million in cash, reports The Wall Street Journal.
Santa Clara, Calif.-based Novafora is in stealth mode and won’t make its first product until next year, according to The San Jose Mercury News.
Transmeta was known a decade ago for its Crusoe chip that was considered a rival to Intel’s Pentium, but its products were not widely adopted. More recently it has been licensing its intellectual property for chips requiring extremely little power to former rivals. Transmeta also announced Monday it has entered a non-exclusive patent license agreement with AMD.
Novafora CEO Zaki Rakib told the Mercury News the company wants that low-power chip technology for its digital video chips.