Calxeda, the originators of power chips for corporate data center computers used to operate smartphones is shutting its doors Business Insider reported Friday.
The company's problems included issues with having its 64-bit chip ready for release next year due to low-cash.
"Over the last few years, Calxeda has been a driving force in the industry for low power server processors and fabric-based computing. The concept of a fabric of ARM-based servers challenging the industry giants was not on anyone¹s radar screen when we started this journey," the company said in a statement on their website.
"Now it is a foregone conclusion that the industry will be transformed forever. Now it's time to tackle the next challenge. Carrying the load of industry pioneer has exceeded our ability to continue to operate as we had envisioned. We wanted to let you know that Calxeda has begun a restructuring process."
'During this process, we remain committed to our customer¹s success with ECX-2000 projects that are now underway. Calxeda is proud of what we have accomplished, the partners who have collaborated with us, the investors who supported us, and the visionary customers who have encouraged us and inspired us along the way. We will update you as we conclude our restructuring process. In the meantime, we want to thank you personally for your interest and enthusiastic support. Its been an amazing journey. Energy, matter, and innovation are never lost, just reassembled. We look forward to the inevitable application of our ideas."
The company is not heading the bankruptcy route, and details on any layoffs are not known.
"We have not filed for bankruptcy. We are restructuring and will know more as that process progresses. In the meantime, we are closing the office to preserve cash," Karl Freund, vice president of marketing for Calxeda told Business Insider.
