Transmeta expectations plunge

NEWS Chip company Transmeta has warned that revenues for the third quarter will be lower than expected. The company, which specialises in developing processors for laptops, said it expects Q3 revenues to be around $5m, compared to $10.5m in Q2 2001 - a drop of 52 per cent. Transmeta said sales had been hit by the global economic downturn, but it added that sales of its chips in its largest market Japan had been particularly poor since June. Shares in the company fell four cents to $1.29 following the announcement.