PowerPC Chips Keep Flowing to Apple

Apple has secured a deal with Freescale Semiconductor to provide it with PowerPC chips through 2008, a regulatory filing has revealed. The deal would help ensure that Apple's transition to Intel-based computers would occur as smoothly as possible.

The Cupertino company announced the switch to Intel processors at the its annual Worldwide Developer conference in San Francisco in June.

Freescale produces the G4 chips that are used within the iBook and PowerBook lines of notebook computers and in the Mac Mini desktop computer.

"Under the terms of the agreement, subject to certain conditions, Freescale is obligated to supply its microprocessors for orders placed by Apple through December 31, 2008," the filing read.

The filing also said that Apple reserved the right to stop ordering PowerPC chips at any time during that period.

Apple had already said publicly that it expected to have the transition to Intel processors completed by 2007, a full year before the expiration of the new agreement.