RBC Capital anaylsts Doug Freedman reports Friday that Apple is in talks with Intel regarding a possible two-pronged deal:

“Intel would agree to use Apple’s preferred architecture for the iPhone — the one from Intel’s British rival, ARM Holdings,” Philip Elmer-DeWitt reports for Fortune. “In return, Apple would agree to switch to Intel’s x86 architecture for the iPad.”

P.E.D. reports, “According to Freedman, Apple’s demand for 12-inch system-on-a-chip wafers in 2013 could approach 415,000 — outstripping Samsung’s ability to supply. ‘We believe,’ he writes, that “Intel has the upper-hand due to the limitations of capacity at alternative sources” — chiefly TSMC and GlobalFoundries.”

Read more in the full article here.

MacDailyNews Take: Intel has the upper hand? Pfft. If they don’t get a deal with Apple, they’ll soon have no hands at all.

Besides, how many fans and extra battery capacity can Apple fit into an iPad? Nobody wants two-inch thick, liquid-cooled iPads with 5-hour battery life.

[Thanks to MacDailyNews Reader “Dan King” for the heads up.]