In May, OLPC founder Nicholas Negroponte reportedly told the 60 Minutes TV news program that Intel should be ashamed of itself for limiting OLPC’s ability to supply affordable classroom laptops. He also implied that Intel had not joined OLPC because its rival Advanced Micro Devices was the processor supplier for its laptop.

Intel and AMD fight viciously, Negroponte reportedly told 60 Minutes. We’re just sort of caught in the middle.

Neither Intel nor OLPC would directly answer questions on why it took so long for Intel to join the nonprofit, which aims to manufacture and distribute rugged Linux-based machines to every student throughout the world’s classrooms.

Intel spokesperson Agnes Kwan said that OLPC choosing AMD to power its first laptop is not why Intel is only now joining OLPC. AMD joined OLPC when it was founded in September 2005. AMD has been on the [OLPC] board for some time, so that’s not the reason, Kwan said.

When repeatedly pressed, Kwan did not provide specifics on why Intel did not become part of OLPC sooner. We actually have been talking to OLPC for quite some time, she said, but declined to say just how long only that discussions had been ongoing. In the past couple of weeks we came to a general point that we will start working together, she said.

We have the same vision, Kwan said. It will make it much better and faster to reach that goal.

When asked why Intel did become a member earlier, an OLPC spokesperson said it was a question for Intel to answer. OLPC didn’t publicly criticize Intel for not joining sooner, said the spokesperson via email.

Intel and OLPC had not yet decided how the pair would work together or what technology Intel would contribute, Intel’s Kwan said. But Intel clearly will be making the case for its processors. When asked whether OLPC is considering using Intel silicon, Kwan said, We would love to work with OLPC on products. OLPC will ultimately make the decision as to what technology it will use going forward.

OLPC expects to begin shipping its first economy laptop to class, called the XO, in September for $175. AMD spokesperson Rebecca Gonzales said the laptop would be powered by its Geode LX processors. Gonzales said AMD had no insight as to why Intel had not joined OLPC earlier. We can’t speculate, she said.

We are excited about their apparent change of heart and definitely think they can make a positive contribution, Gonzales said. When asked precisely why AMD was excited about Intel becoming an OLPC member, she said, We always welcome new partners to the fold.

Intel began shipping its own budget classroom laptop, called the Classmate PC, in March. It costs $225 but the chipmaker expects that price would drop to about $200 by year’s end. Intel’s Kwan said that price may fall further, if orders exceed its expectations. The company is not providing shipment forecasts. Kwan said so far it had been shipped to Mexico, Brazil, Nigeria and Pakistan, and has about 30 pilots ongoing throughout the world.

She was quick to point out there are other low-cost classroom options available, notably from Dell and EEEPC, whose version also uses Intel processors.

Intel’s Kwan would not say how much money Intel has committed to investing in OLPC because she said the OLPC is recruiting new members, which all will pay a similar amount, and does not want that figure to be published at this time.

Intel’s Classmate PC is manufactured by ODM in Taiwan. OLPC’s XO will be made by board member Quanta Computer, also in Taiwan. Other OLPC corporate members include Google, Nortel Networks and Red Hat.

Our View

Intel, in typical PR form, has skillfully answered truthfully that it has been in ongoing discussions with the OLPC – to what degree and over what, exactly, is not known. Clearly, the discussion did not center on how much investment the chipmaker had to fork over for membership, given all new members will be ponying up a similar amount.

Intel’s initial snub of this AMD-backed initiative was no surprise, given the pair’s history. Among the several likely possibilities as to why Intel did a surprise 180 is that its own Classmate PC is failing miserably. Then again, the chipmaker is in the midst of its largest corporate restructuring in its history. Separately, it also is being sued for alleged anti-competitive behavior by AMD.