Former Intel and AMD challenger Transmeta is facing de-listing from the Nasdaq Stock Market due to its low stock price.

Nasdaq warned Transmeta last week that unless the company's stock hits $1 per share or higher for at least 10 consecutive business days by mid-September, the company will face delisting from Nasdaq.

The company issued a statement disclosing that it had received the Nasdaq warning letter last Wednesday.

Transmeta whose stock closed Tuesday at $0.61, has been trading below $1 for the past month.

In early February, the company dropped engineering efforts and laid off staff, saying it would focus exclusively on developing and licensing its intellectual property.

In the late 1990s, Transmeta was one of the most talked-about startups in Silicon Valley, but the company was unable to make a success of its low-power processors. It has gone through a series of restructurings over the past few years as business has declined.

The company currently has licensing deals with NEC, Fujitsu, Sony and Toshiba.