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In Wake Of Apple Loss, IBM Preps 'Smaug' And 'Waternoose' Chips

IBM loses Apple but continues work on game chips 'Smaug' and 'Waternoose.'

"They couldn't get the volume and when they got the volume they couldn't get the quality. The chips were too hot for laptops," says my birdie.

With Apple flying the coop, IBM Fishkill's whole fab, it appears, is now devoted to the wide wide world of games. For you gamer chipheads, here's some news. The next-gen Xbox chip is code-named Waternoose. The Sony PlayStation chip is "Smaug." As in the hobbit.

Don't say I never told ya nothing.

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