Tuesday, January 18, 2005

TMTA.

Transmeta's Fanless Digital Entertainment Center Initiative Gains Support from Microsoft SANTA CLARA, Calif. & LAS VEGAS--(BUSINESS WIRE)--Jan. 6, 2005--
Efficeon Powered Designs Optimized for Use with Microsoft Windows
XP Media Center Edition 2005
Transmeta Corporation (NASDAQ:TMTA), the leader in efficient computing, today announced that its new fanless Digital Entertainment Center Initiative, including several new designs that take advantage of the high-performance and low heat characteristics of the Transmeta Efficeon(TM) processor, has gained Microsoft Corp.'s support and is suitable for use with Windows XP Media Center Edition 2005.
These new Digital Entertainment Center designs, powered by the Efficeon processor, are cost effective solutions with full support for Microsoft Windows XP Media Center Edition 2005. Consumers can be assured that the Efficeon processor meets or exceeds the performance requirements necessary for running Media Center Edition 2005. These new designs include recording and playback features and have the ability to manipulate multiple video and/or audio tracks simultaneously without losing valuable data or information.
"Transmeta's new designs enable the creation of ultra-quiet Media Center PCs," said Bill Mannion, Director of Windows XP Consumer Marketing at Microsoft. "This will hasten the adoption of the PC as the center of the home entertainment system, providing video and audio content on demand for use throughout the home."
"Transmeta is very excited to have Microsoft's support for our new Digital Entertainment Center Initiative, as we feel that Microsoft's involvement was a very important step in making this new initiative a success" said Arthur L. Swift, senior vice president of marketing at Transmeta. "Transmeta has been working in conjunction with Microsoft to ensure that the Efficeon processor takes full advantage of the new advances available in Windows XP Media Center Edition 2005."
Transmeta will be demonstrating several new Digital Entertainment Center designs with support from a wide variety of vendors at the CES Conference on January 6-9, 2004 at the Las Vegas Convention Center, Booth 36235 South Hall 4.
About Transmeta Corporation
Founded in 1995, Transmeta Corporation designs, develops and sells highly efficient x86-compatible software-based microprocessors that deliver a compelling balance of low power consumption, high performance, low cost and small size. Our products are valuable for diverse computing platforms demanding energy efficiency, low heat and x86 software compatibility. We also develop advanced power management technologies for controlling leakage and increasing power efficiency in semiconductor and computing devices. To learn more about Transmeta, visit www.transmeta.com.
Safe Harbor Statement
This release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements speak only as of the date of this release, and we will not necessarily provide updates of our projections or other forward-looking statements. Investors are cautioned that such forward-looking statements are subject to many risks and uncertainties, and may differ materially or adversely from our actual results or future events. Important risk factors that could have material or adverse effects on our results include general economic and political conditions and specific conditions and volatility in the markets that we address, the rescheduling or cancellation of significant customer orders, market acceptance and adoption of our new products by our present and future customers and end users, difficulties in developing or manufacturing new and existing products in a timely and cost effective manner, our dependence on third parties for sourcing materials and providing manufacturing services, intense competition and competitive pressures, the ability to enter strategic collaborations or raise financing on satisfactory terms, the risks and costs inherent in any efforts that we may undertake under a modified business model, our ability to recognize significant licensing revenue in the future, patents and other intellectual property rights, and other risk factors. We urge investors to review our filings with the Securities and Exchange Commission, including our most recent reports on Forms 10-K, 10-Q and 8-K, which reports describe these and other important risk factors that could have an adverse effect on our results. We undertake no obligation to revise or update publicly any forward-looking statement for any reason.
Transmeta, Efficeon, AntiVirusNX, LongRun, LongRun2, Code Morphing and Crusoe are trademarks of Transmeta Corporation. All other product or service names mentioned herein are the trademarks of their respective owners.

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