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Apple's Mac Can Now Run Windows: MOVE AIMED AT PC BUYERS WHO ARE `ON THE FENCE'

Posted on: Thursday, 6 April 2006, 12:00 CDT

By John Boudreau, San Jose Mercury News, Calif.

Apr. 6--Suddenly, the unthinkable: Apple Computer makes PCs that run Windows using Intel chips.

Apple introduced a free download Wednesday that lets people choose whether they want Apple's latest computers to act like Macs or Windows PCs each time they hit the on button. It's a major shift for a company that has long implored consumers to "Think Different" and shun mainstream computers based on Microsoft and Intel technology.

"I now fully expect the Earth to start revolving around a different axis," joked Alex Soojung-Kim Pang, a research director for the non-profit Institute for the Future.

Industry experts predicted that the new Windows option will begin to lure consumers who have held off buying a Mac because they need Windows running at full speed for some specific tasks. Wall Street traders also endorsed the strategy, sending Apple shares up nearly 10 percent, to close at $67.21.

"It's very audacious of them. It is bound to increase Apple's market share," said Richard Doherty, an analyst with Envisioneering Group. Apple has less than 5 percent of the PC market. "The whole blurring of the Mac and the PC is complete. It now raises the bar for manufacturers of not only notebooks, but the living room and desktop PCs."

The software, dubbed Boot Camp, is Apple's latest attempt to woo customers from rival computer makers. It is a test version of software Apple will fold into the next generation of its operating system, and the company released it without the usual fanfare.

The Cupertino company set the stage for the move last year, with the announcement that it would begin equipping computers with Intel chips instead of those from IBM.

The process of outfitting a Mac to run Windows comes with some hassles and costs, though. Consumers must spend about $200 for Windows XP Service Pack 2, and spend an hour or more installing it. Then, they must restart the Mac each time they want to switch between operating systems.

Apple said Boot Camp was created in response to requests from Mac users and potential Mac consumers.

"We get a lot of requests from people about running Windows XP on those Intel-based Macs," said Brian Croll, senior director of Mac OS X product marketing. "They have one or two Windows-based applications that are holding them back from making the move. This gives them the safety net to make the move."

Croll ruled out the possibility that Apple would sell Windows, or start pre-loading Windows on Macs. "Apple is not selling (Macs) pre-installed or supporting Windows," he said.

Apple also would not say how Boot Camp will figure in its marketing plans. "We don't really talk about future marketing campaigns," said David Moody, vice president of Mac hardware product marketing.

Boot Camp, which Apple will include as a feature in its next-generation Leopard operating system, gives consumers and businesses a way to have two computers in one. Leopard is expected later this year or in early 2007.

"It's the only company that can provide a PC platform that can run Windows and the Mac," said Tim Bajarin, an analyst with Creative Strategies. "It plays well into their switch campaign. They are trying to more aggressively go after those who have been on the fence."

It could tempt businesses that have graphics and marketing departments that use Macintosh computers to offer Apple's low-end Mac mini to all its workers. That way all employees can use Windows and Mac software, observed Art Fallon, store manager of We Fix Macs in Palo Alto.

"This would allow them, at the price of a Mac mini, to have one computer," he said. "It's better than any PC by far. It's small and it's cheap. It could be the ideal situation."

Stephen Baker, director of industry analysis for the NPD Group, on the other hand, does not expect to see a lot of people buying Mac computers because they can now run Windows on them. After all, consumers can buy a PC for as low as $400 -- or less. "This is for the Mac users for whom there are a few things in Windows they've got to have," he said. "This makes it easier for them. It's not a huge deal."

Doherty, though, believes Boot Camp will, if nothing else, give consumers another reason to look at Macintosh computers. Its laptops, for instance, most likely will be included in the spreadsheet reviews found in popular computer magazines.

"It's going to raise the bar for providers of the leading notebooks to have a better offering to compete with the Mac," he said.

The news could be unsettling for some Mac faithful, the loyalists Apple has cultivated over the years, said Kirk McElhearn, who has published several books on Macintosh computers and is author of the blog "Kirkville."

"The purists will say, 'We don't want Windows on a Mac,' " he said. But, McElhearn added, "Apple is going to gain market share. It's as though Gillette said you can now use Schick razor blades with Gillette. Everyone was waiting for a 30th anniversary Mac. This is it."

Contact John Boudreau at jboudreau@mercurynews.com or (408) 278-3496.

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Copyright (c) 2006, San Jose Mercury News, Calif.

Distributed by Knight Ridder/Tribune Business News.

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Source: San Jose Mercury News

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