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Report: Apple G5 chips scarce

Firm may be facing greater difficulties than previously thought in getting hold of chips to power its high-end PCs.

Graeme Wearden Special to CNET News.com
Apple Computer may be facing greater difficulties than previously thought in getting hold of chips to power its high-end personal computers.

According to a report on Forbes, financial company Prudential Equity Group reported this week that the availability of G5 processors for Apple could be "worse than anticipated."

These chips are supplied by IBM and used in the PowerMac G5. They will also power the forthcoming iMac G5. Apple had previously said that 1.8GHz and 2GHz G5 chips would be in short supply in July, due to manufacturing problems at IBM, but that availability would recover in August.

"We now believe that IBM may be having difficulty meeting its revised supply commitments," said Prudential Equity Group, which reportedly fears that these additional delays could affect Apple's earnings if the launch of the iMac G5 is delayed.

Neither Apple nor IBM responded to requests for comment at the time of writing.

Graeme Wearden of ZDNet UK reported from London.