Apple's Plans for P.A. Semi? Not Interested in the Chips?

Earlier today, the news came out that Apple was acquiring chip designer P.A. Semi for $278 million. In February 2007, P.A. Semi debuted a 64-bit dual core processor which claimed to be "300% more efficient than any comparable chips" running at 2GHz and consuming 5-13 watts of power.

While the news generated speculation that Apple might use P.A. Semi's low power PowerPC chips in future iPhones or iPods, Beyond3D points out that these chips require far more power than can be expected for use in the iPhone or iPod.

Instead, EETimes provides some additional insight into Apple's motivations on the acquisition. According to comments made directly to P.A. Semi's customers, Apple is "not interested in the startup's products or road map, but is buying the company for its intellectual property and engineering talent." In fact, P.A. Semi also told customers that they would be unable to guarantee a supply of its chips in the future.

As it turns out, this may cause some resistance to the acquisition, as P.A. Semi's chips are reportedly used in a number of ongoing Department of Defense projects.