Calxeda announces restructuring effective immediately

Not good news for the ARM server startup

Calxeda LogoIt looks like Calxeda has some hard times ahead of it, the ARM server company just announced that they are restructuring. The official statement from the company is as follows:

“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 anyone’s radar screen when we started this journey. 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 customer’s 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.”

While it looks bad for Calxeda, there is a fairly good chance their products and IP will be snapped up by some player interested in the ARM server business. Karl Freund said the restructuring would take between 3-6 weeks, a short enough time frame that the people and processes would not be irrevocably scattered to the wind. This is an unfortunate but common occurrence in the world of tech startups.S|A

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Charlie Demerjian

Roving engine of chaos and snide remarks at SemiAccurate
Charlie Demerjian is the founder of Stone Arch Networking Services and SemiAccurate.com. SemiAccurate.com is a technology news site; addressing hardware design, software selection, customization, securing and maintenance, with over one million views per month. He is a technologist and analyst specializing in semiconductors, system and network architecture. As head writer of SemiAccurate.com, he regularly advises writers, analysts, and industry executives on technical matters and long lead industry trends. Charlie is also a council member with Gerson Lehman Group. FullyAccurate