Motorola Inc, which was blamed by Apple Computer Inc for not being able to supply it with enough G4 chips for its newest desktop computer – which led the hardware manufacturer to issue a fourth-quarter profit warning earlier this week – says it will get the chips to Apple soon. Will Swearingen, Motorola’s Power PC marketing director, told USA Today that the company will fulfill its delivery goals of 400- and 450-MHz processors within weeks, not months.
There are reportedly no technical problems with the production of the chips and the company also pledged that the 500-MHz version will be available soon although it would be no more specific. In a statement earlier this week, Motorola said We’re thrilled with the overwhelming and positive response in the marketplace for the PowerMac G4. This response has made it difficult for us to provide as many of the G4 chips as Apple can currently use.
As for the impact of the shortage on Motorola, analysts at investment bank Warburg Dillon Read said, regardless of the cause, we believe the impact of this situation on Motorola’s third-quarter revenues and earnings will be immaterial and more than offset by strong sales and earnings in other areas of the semiconductor division. The bank reiterated its buy rating on Motorola shares. á
