NeoMagic revenues trickle in at $80,000 in quarter

The Santa Clara company has switched its emphasis from notebook computers graphics ICs to system-on-chip solutions for handheld Internet-based multimedia systems. In the fiscal first quarter, NeoMagic's net loss totaled $7.3 million compared to a net loss of $5.3 million in the period last year.

"The first quarter developed as we had expected," said Prakash Agarwal, president and CEO of the struggling company. "We continue to emphasize careful cash management and spending control as we invest in our new product activities." NeoMagic aiming its embedded DRAM technology, processing cores, software, and multimedia hardware at next-generation Internet appliances.

"We are on track in our development schedules, and expect to begin sampling and demonstrating our new product family this summer," Agarwal reported.