“Just ahead of its recession defying, record setting Q2 2008 earnings reports, Apple revealed plans to buy PA Semi, a chip designer specializing in processors based on IBM’s Power architecture,” Daniel Eran Dilger writes for RoughlyDrafted. “This news sparked a flurry of confusion from observers: why is Apple getting into the semiconductor business after partnering with Intel in its Mac systems, aligning with ARM licensees for its mobile WiFi iPhone platform, and particularly after decisively migrating away from PowerPC in 2006?”
“Apple’s acquisition target isn’t a chip manufacturer. As a ‘fabless’ chip designer, PA Semi (short for Palo Alto Semiconductor) only develops chip designs that are actually built by other companies,” Dilger explains.
“PA Semi licensed IBM’s Power architecture technology to design its PWRficient series of 64-bit processors suitable for use in applications from desktop computers to server storage controller backplanes,” Dilger reports.
“EETimes reported that just two days prior to the announcement of its purchase by Apple, ‘PA Semi informed its customers it was being acquired and it could no longer guarantee supplies of its chips. The startup did not identify the acquiring company but said that company may be willing to supply the chip on an end-of-life basis, if it could successfully transfer a third-party license to the technology,'” Dilger reports.
Dilger reports, “The report then flatly reiterated that ‘PA Semi customers were told the acquiring company was not interested in the startup’s products or road map, but is buying the company for its intellectual property and engineering talent.'”
Much more in the full article here.
[Thanks to MacDailyNews Reader “Brawndo Drinker” for the heads up.]
Mac designs what it wants… and Intell builds what Apple wants! Thus Apple stands out as the fastest and best Intell chip on the market and Intell’s other customers gets pure Intell while Apple clients get pure Apple!
I take pure Apple over pure anyone else every time!
A really good move on the part of Apple…
Steve is playing chess again, and not just chess but 3D chess. Just the fact that competitors and pundits (and us) are guessing about why Apple did it proves the point.
It’s not only about skating to where the puck’s GOING to be, by the same token it’s also about thinking 3-4, 10-15 or more moves ahead of your opponent(s).
I envision (and I admit I’m guessing along with everybody else) Macs featuring Intel chips but that are low-power, quiet, kick-ass fast that adds up to Intel speed on steroids that NOBODY ELSE WILL HAVE. This capability will be spread across the product line (just like OS X has been) to enhance the performance of everything they make.
Apple designs ’em, Intel or Texas Instruments (PA Semi’s manufacturing partner) cranks ’em out, as APPLE EXCLUSIVES. Intel will still be involved, but the roadmap will be a lot more opaque, which is another reason I think Steve did it. SECRECY again.
Will Apple be the first to take us to 128-bit while everybody else is struggling to achieve true 64-bit functionality? What IS coming in the next post-Leopard OS X?
We’ll see, as always.
Peace.
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Olmecmystic
$700 – $900? Apples on crack if this is true. It’ll be another air. This thing should sell around the same price as cheap laptops and a little more than netbooks.