The chip, which could be used in laptops, tablet PCs, Internet appliances and embedded applications, is expected to become available in the latter half of 2003.

Matthew Perry, president and CEO of Transmeta, said that as use of wireless communications increases, so does the threat of information theft -- increasing the need for a chip like this.

Easy To Alter

Transmeta spokesperson Philip Bergman told NewsFactor that the new processor is based largely on software instead of hardware, "which keeps the transistor count down and provides more flexibility while reducing the power consumption and heat output."

He added that, thanks to this software foundation, Transmeta can rapidly alter security settings and other features without making costly and time-consuming changes to hardware.

Russ Craig, a semiconductor analyst at Aberdeen Group, told NewsFactor that another benefit of having security features at the processor level is that the chip can handle a better security protocol. "It means you could utilize a heavier-duty protocol than if [security features] were out on the board, for the same amount of impact on the hardware."

Although Transmeta may be first to go to market with a security-focused chip, Intel announced in September at the Intel Developer Forum that it plans to produce a similar mobile chip, called LaGrande. No date has been set for LaGrande's release, but according to Intel, the processor will have built-in security features that enable protected execution, memory and storage functionality.

Security's Hidden Features

One facet of the Transmeta chip's security features is a storage facility within the chip architecture that can hold information about certificates, keys and other confidential information. That area is "invisible" to the x86 space, providing a tamper-resistant environment, Transmeta said. It potentially can hide entire algorithms or intellectual property items.

The Transmeta processor also includes support for key encryption algorithms, such as the Data Encryption Standard (DES), DES-X and Triple-DES, often used in virtual private networks (VPNs) to secure wired and wireless data transmissions. In addition, the company has said the chip's architecture is flexible enough to include new encryption algorithms as they are developed.

Out-Board Security

Including security on the processor is a different approach than the current method, in which chipmakers put security features on a second chip.

"Current solutions, such as smart cards and the Trusted Computing Platform Alliance's (TCPA) Trusted Platform Module (TPM), are external components that add cost and increase both design complexity and system space requirements," Transmeta said.

Craig noted that including security functionality on the core chipset reduces the overall bill of materials cost and improves data safeguarding. It remains to be seen if this technique will catch on, but it seems promising.