The Mercury News

Apple plans Mac event, to begin Intel breakup

- By Mark Gurman and Debby Wu

Apple’s 15-year relationsh­ip with Intel will officially begin to unwind next week when new Mac computers are revealed.

The Cupertino-based technology giant said on Monday that it will hold an online event dubbed “One more thing” on Nov. 10. That “thing” will be Macs with main processors designed by Apple for the first time, replacing Intel chips that have been a mainstay since 2006. An Apple spokesman declined to comment.

Apple and overseas suppliers are ramping up production of three new Mac laptops with Apple processors: new 13-inch and 16-inch MacBook Pros and a new 13-inch MacBook Air, according to people familiar with the matter. Beyond the processor switch, the devices won’t have significan­t design changes.

Apple has less than 10% of the market for personal computers, so the direct impact on Intel sales may be limited. However, the change highlights a crisis engulfing the world’s largest chipmaker. It has delayed a new manufactur­ing process, giving rivals a chance to catch up. These problems are at least partly behind Apple’s decision to move to in-house chips, although the company has been steadily shifting to this approach for years.

The partnershi­p between Apple and Intel started in 2005, when Steve Jobs outlined a move away from PowerPC processors. Intel helped Apple catch up to Windows

computers, some of which were more powerful at the time. In tandem, though, Apple was working on more energy-efficient chips for mobile devices based on Arm Ltd. designs and continues to use those to power the iPhone and iPad.

On Apple’s recent earnings call, Chief Executive Officer Tim Cook hinted at the Mac launch by saying, “without giving away too much, I can tell you that this year has a few more exciting things in store.” The company generated a record $9 billion in revenue from the Mac in its fiscal fourth quarter.

The first Mac processors from Apple will be based on the A14 chip found in the latest iPhones and iPad Air, and tests inside Apple indicate improved power efficiency over the Intel parts they are replacing. The new machines will also have Apple-designed graphics and machine-learning processors.

Read more: Apple-Made Computer Chips Coming to Mac, in Split From Intel

Apple said in June that the transition away from Intel chips will take two years. After updating its laptop line, Apple will still have until 2022 to update desktop computers — the iMac, iMac Pro, Mac Pro and Mac mini — with its own processors.

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