Building complex microprocessors and hardware architectures requires a great deal of central planning, integration and verification. The industry grew up quite by necessity because it required considerable investment in fabs and design resources. Consequently, the IP licensing business required significant up-front fees to justify capitalization and support costs to fund development programs. However, this has created significant barriers to entry and slowed the rate of innovation and cross-integration of technologies. Companies large and small can now gain access almost immediately to actual source files, test suites, programmers reference manuals, verification guides and technical specs.
Fees only apply when products go into volume production.
This new model for hardware IP evaluation minimizes the risk of developing multiple pilot projects and adding value to IP strictly for testing concepts. Sun has once again changed the rules, the big rules that have hampered innovation for years. Sun's microprocessor technology can now be applied to development programs with no initial financial obligation. Once the IP proves its worth, generating real sales, both Sun and the development company reap the rewards. Revenues that would never have been realized can now fuel growth for all while encouraging new products to take shape more quickly.