NeoMagic (OTC:NMGC) used to sell graphics processor semiconductors to top notebook manufacturers until 24 September 2008, when the company's inability to raise capital and the financial crisis forced management to cease operations. On 15 October 2008, the company's stock was delisted from the NASDAQ stock exchange. In fiscal year 2009, product revenue was $2.0 million, down 4.8% from $2.1 million in fiscal year 2008. There was no licensing revenue in both years.
On 15 February 2008, NeoMagic completed the sale of selected patents and a patent application to Faust communications Holdings for $12.5 million, providing net proceeds of $9.5 million after agency commissions. As of 25 January 2009, the company had 15 issued patents scheduled to expire between June 2014 and February 2025. The company also has several patents pending. As of the same date, NeoMagic had $183,000 in cash and cash equivalents and $41,000 in accounts receivable as compared to $1.5 million in cash, cash equivalents and short-term investments, and $0.5 million in accounts receivable at 27 January 2008.