Apple invests $3Bn in the 970

Posted:
in General Discussion edited January 2014
Quote:

of the new 64 bit chip, the G5, that the company has developed along with IBM, with an investment of 3 billion dollars.



Link





Considering the fact they make some 5-6Bn a year in total revenue, this is an undgodly sum. It seems, IBM held Jobs' balls rather tightly when they negociated the conditions of the shared development of the 970 family of chips.



On the other hand, it explains why Apple got the chips so early, they could bring machines to market even before IBM did - maybe they payed the lions share of the total R & D money which went into the 970.



Here's hoping the 3Bn did not just finance the development of the 970 but in part its successors as well...

Comments

  • Reply 1 of 7
    telomartelomar Posts: 1,804member
    I think you'll find that's just poor english and refers to IBM's investment in the new fab.
  • Reply 2 of 7
    The Fishkill facility itself cost $3 billion to build. Perhaps it refers to that in a very ambiguous way?
  • Reply 3 of 7
    moogsmoogs Posts: 4,296member
    Just a poorly phrased sentence. Apple did NOT put $3B into the G5; I guarantee it. The two companies combined, from paper prototype to working silicon, probably put $3B in... but that's a much different story.
  • Reply 4 of 7
    smirclesmircle Posts: 1,035member
    Quote:

    Originally posted by Moogs

    The two companies combined, from paper prototype to working silicon, probably put $3B in... but that's a much different story.



    That's why the comment electrified me so much - $3Bn should buy you the development of a chip and a completely new fab on top. If Apple shelled out that much, they'd bet the farm on this chip - if it tanked, nothing in the world would save them.
  • Reply 5 of 7
    yevgenyyevgeny Posts: 1,148member
    3 billion is a bit much. You could get a chip and a state of the art FAB for that much. Last time I checked, IBM still owned the Fishkill fab.



    However, the article is interesting to note that Apple wants to get 64 bit laptops out and that they see that as a real market to take control of. End of next year? Seems to be very doable.
  • Reply 6 of 7
    placeboplacebo Posts: 5,767member
    www.apple.com/powermac/video



    Notice that John Kelly III (the IBM dude) said that IBM invested $3b in a new fab, not Apple.
  • Reply 7 of 7
    Quote:

    Originally posted by Yevgeny

    3 billion is a bit much. You could get a chip and a state of the art FAB for that much. Last time I checked, IBM still owned the Fishkill fab.



    However, the article is interesting to note that Apple wants to get 64 bit laptops out and that they see that as a real market to take control of. End of next year? Seems to be very doable.




    With a 90nm g5 running at something like 1.8Ghz. . . Hell yeah. Probably will run cooler than my 1Ghz Ti. (7455. . . 180nm)
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