: For its next Xbox release, Microsoft (Nasdaq: MSFT) has chosen to jettison the game console's Intel (Nasdaq: INTC) chip in favor of a processor built by IBM (NYSE: IBM) . Industry observers see the change — which no one had predicted — as a major win for IBM and a set-back for Intel, whose high-performance chips power many gaming applications.
IBM has had a busy PR day today!
By not selecting Intel for the next XBox, Microsoft really is saying that Intel is not producing a chip MS feels is powerful enough to handle the next generation of video game consoles. Microsoft has also gone out of its way to start supporting AMD 64-bit with Windows. I think Microsoft sees the danger in aligning itself too closely with Intel. They're not going to choose an inferior chip if it puts its own products' future in jeopardy.
I suppose this could've been worse for Intel. Microsoft could have selected AMD for the next XBox.
P.S. This is yet another sign that the world is indeed coming to an end.
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: Longtime Microsoft foe Novell has signed an agreement to acquire SuSE Linux for $210 million in cash, while IBM, the most powerful backer of the Linux operating system, will make a $50 million investment in Novell.
I guess Novell really is serious about Linux, huh? I find the IBM involvement just as interesting. Novell seems to be learning some lessons and proving it through their latest actions. Novell has compelling products and now it is putting those products on a platform that everyone except Microsoft can't get behind.
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