Apple snatches up P.A. Semi

Given Apple's close relationship with Intel in recent years and the company's increased focus on mobile devices like the iPhone and iPod Touch, the folks in Cupertino seemed likely candidates to showcase the capabilities of Intel's forthcoming Atom. True though that may be, don't count on Apple sticking with Intel's mobile wares for too long. Apple announced today that it has acquired boutique CPU manufacturer P.A. Semi for a whopping $278 million in cash. The 150 person company recently revealed a 2.0Ghz, 64-bit, dual-core mobile CPU that's said to be 300 percent more efficient than similar chips on the market. It's probably a pretty safe bet that P.A. Semi CPUs will show up in future iPhones/iPods, and they could even make their way into ultraportable laptops like the MacBook Air, which, as you'll recall, uses a custom low-power Intel CPU. "The decision to center the iPhone design around a chip that Apple could own marks a significant strategic choice by Apple Chief Executive Steve Jobs, and is aimed at ensuring Apple can continue to differentiate its flagship phone as a raft of competitors flood the market," Forbes notes.

For more on the acquisition:
- see this Forbes article