Everyone loves a good rumor!

Post ImageIn case you missed it earlier this week, Apple announced it was switching to Intel chips for it’s computers starting in 2006. That’s pretty big news for the computer industry, and as a result, it has been debated, questioned, and otherwise picked apart over the last few days. People have all sorts of questions and thus theories about what is going to happen, but one of the most extreme comes to us from Robert X. Cringely (I picked out the best quotes):

And this time, what’s behind the announcement is so baffling and staggering that it isn’t surprising that nobody has yet figured it out until now. Apple and Intel are merging.

Then what is the driving force? Microsoft.

His article is a pretty interesting read, and he does ask some great questions. Why did Apple choose Intel and not AMD? Why did they not say anything about their previous marking campaigns that said PowerPC was so much faster than Intel? I expect these questions, and many others, have good answers.

As for Apple and Intel merging to dethrone Microsoft? Not likely:

  • Microsoft has so much money, they could be a bank. Heck, they could be anything they wanted almost overnight. And keeping a lot of money has always been part of the plan – lots of cash on hand means you can weather most storms. It would take a lot, an act of epic proportions, to harm Microsoft. Apple and Intel merging is not that act.
  • Dell and HP are the companies that have the real say here. If Intel were to buy Apple, I think you’d see Dell and HP knocking on AMD’s door extremely fast. Intel would lose it’s largest customers almost immediately.
  • Even if they didn’t, what’s stopping Microsoft from buying AMD? They’ve been pretty cozy lately anyway. At the very least, Microsoft could help AMD meet production demands if current Intel customers jumped ship.
  • Intel and Apple are hardware companies. Good luck creating and supporting a mainstream operating system! Microsoft is a software company at heart, it’s what they do. They might be slow at getting things fixed, but I am willing to bet they know a lot more about it than Intel-Apple would.

Basically, I don’t see the incentive for Intel to buy Apple. Maybe I’m wrong, but I think there is a much better chance that Apple would split into two companies: one focused on computers, and one focused on media (think iPod).

Read: I, Cringely

2 thoughts on “Everyone loves a good rumor!

  1. Intel over AMD: Might have to do with overall manufacturing capabilities, although with Apple’s already limited audience, you’d think it wouldn’t matter. 😀

    Also, it’s funny that they mention more CPU performance per clock with Intel over PowerPC because AMD has more of that than Intel (Athlon 64 versus Pentium 4. Centrino has similar performance per clock to the Athlon 64, however).

    An exclusive Intel/Apple deal would hurt Intel a lot unless Dell, HP and all other x86 computer sellers switch over to an Apple operating system. Apple would also have to then compete hardware-wise or become more MS-like.

    oo… we’re thinkin alike kinda. Didn’t even see that you mentioned Dell and HP. 😀

    MS buying AMD once Apple buys Intel? A neat idea. I wonder how the public would perceive it. I want my competition!

    Games-wise, it’s unfortunate for them that most are written with DirectX in mind.

    Ultimately, I’m hoping they have prices on par with Windows/x86 systems. I definitely would get their system if it was so. Gotta love widgets. 😀

  2. Actually I think the biggest reason Apple chose Intel instead of AMD is that Intel manufactures everything – chipset, processor, motherboard, etc. AMD only does the processor.

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