Apple Snaps Up Chip Design Company

iPhones and iPods could get efficient next-generation chips
By Rob Quinn,  Newser Staff
Posted Apr 24, 2008 6:47 AM CDT
Apple Snaps Up Chip Design Company
Apple CEO Steve Jobs gestures in front of an image of the new iPhone during a news conference in Cupertino, Calif., in this March 6, 2008, file photo.    (AP Photo/Paul Sakuma)

(Newser) – Apple has acquired a designer of sophisticated, low-power computer chips, Forbes reports. Analysts say the move will likely lead to a new kind of chip powering future iPhones and iPods, as well as new Apple designs, helping the company differentiate itself from competition scrambling to keep up. The news comes as a blow to chip maker Intel.

Apple's new acquisition, PA Semi, announced a new processing chip last year which it claims is 300% more efficient than its competitors. Insiders say that Steve Jobs now plans to use the firm's chips exclusively in Apple products. The $238 million price tag is high for an Apple acquisition, but won't make much of a dent in the $19 billion cash holdings Apple announced yesterday. (Read more Apple stories.)

We use cookies. By Clicking "OK" or any content on this site, you agree to allow cookies to be placed. Read more in our privacy policy.
Get the news faster.
Tap to install our app.
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.