The company did not do as well as they expected, and were eventually acquired by Novafora for it's power-saving technology. ( http://www.novafora.com/pr01-28-09.html )
From all accounts that I am aware of, the technology simply did not compete with existing systems. They fell far short of their performance numbers. Also, while it may have been possible to put another translator on top of their VLIW design, I'm not aware of any products they produced that did. I don't remember the Crusoe chip being able to accept an alternative "translation" microcode download.
I personally owned a device that used a Crusoe processor, and while it certainly delivered on battery life, the performance of the device was dismal. Some of the blame could probably be leveled on the special version of Windows it used, but it was still slow.
At best, it was good for portable remote desktop.
IMHO, the technology has the same benefits as software VM's like .Net and the JVM:
- The upside is that you can probably
accelerate the code faster with a
hardware solution (like IBM does with
it's Java accelerator processors)
than pure software JIT.
- The downside is that you never get the raw
performance that processors executing
native code get.
From some perspectives you can think of modern x86 chips as code morphing, although as very specialized ones. They translate the x86 architecture into a more efficient RISC-like subinstruction set, and then execute those.
Another example of this sort of technology could be FPGAs which can be programmed to emulate on a circuit level various kinds of processors or raw circuits. I believe that some Cray systems can come with "accelerator nodes" of this sort.