Apple Confirms G5 Based iMac

In its third quarter conference call, Apple CFO Peter Oppenheimer confirmed the company's plans to launch new iMacs in September based on the 64-bit G5 processor. Apple was set to unveil the rejuvenated iMac at last month's WWDC, and blames the delay on production problems at IBM, which manufactures the chip.

Apple expects the G5 shortage to affect sales through the quarter, but Oppenheimer said the company was confident IBM would resolve the issue come September. The problems stem from a switch to 90-nanometer scale production.

Supply not meeting demand has been a reoccurring theme at Apple, with 1.8 and 2.0 GHz Power Mac G5s still in limited stock and iPod minis nearly impossible to locate at Apple Stores.