Apple Inc (AAPL)

[KVW]

A couple of things to remember on G5 performance...

IBM just released their G5-optimizing xlC compilers for Mac OS X. I work on AIX systems (where these compilers originate) and the IBM compilers produce much better PowerPC code than the GCC compilers. I'd expect an average of 30% to 50% on many processor intensive operations by simply changing compilers.

Also, Apple really hasn't optimized OS X yet for the G5. The G5 is in so few Macs, that Apple has to keep the compiler switches to generate good G4 code. Once the G5 is in the majority of Apple's computers, they will turn on the G5 optimizations (which will run on the G4, only with a potential performance penalty).

Finally, the current G5s are the first of their kind. If IBM and Apple deliver 3GHz G5s by this summer, they will be very competitive.

I have a dream that the twentieth anniversary Mac has 3GHz G5s in them (could probably happen if they only need limited quantities).

Kevin