In the early days of the browser wars, Microsoft CEO and co-founder Bill Gates infamously is credited with instructing executives to ‘cut-off the breathing’ of upstart Netscape. Could long-time rival Apple be following Microsoft’s advice when it comes to another nascent computing technology, tablets? After slamming Android-based tablets as “bizarre” and their second-generation as vaporware, Apple quietly signed a $3.9 billion deal to ensure a smooth flow of components to its products.
Apple Chief Operating Officer Tim Cook, filling in for CEO Steve Jobs while on medical leave, described a 2005 $1 billion deal to ensure flash memory for its iPods, iPhones and other memory-intensive devices, as “an absolutely fantastic use” of its growing cash bankroll. The Cupertino, Calif. company has been criticized for letting $59.7 billion in cash accumulate without either making investments or rewarding investors with stock dividends. Tuesday, Cook said Apple had made another deal with suppliers of unspecified strategic components.
