IBM struggling to meet Power PC 970FX demand

Comments from Apple's latest earnings conference call indicate that the company is "not happy" with the latest delivery of chips from IBM.
As for the Xserve, Apple said it was hampered by a shortage of chips from IBM but said it hopes to be caught up to demand by the end of the current quarter. "Obviously we were not happy with the delivery we got," an Apple executive said on the call, adding that "IBM is working very, very hard to bring the supply in line with demand."
The chips in question are presumably IBM's 0.09-micron Power PC 970FX processors, which Apple uses in its Xserve G5 servers. If IBM is having problems meeting demand for 2.0GHz Power PC 970FX chips, it could be a while before Apple's Power Mac G5 systems get a processor upgrade.
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