The run-up to a major new product launch is stressful at any company - but in this week before Power Computing unveils its first Wintel machines, the Macintosh clone-maker has encountered turbulence so heavy that it has decided to terminate its once-anticipated initial public offering.
On Monday, Power is scheduled to show off what once promised to be its ticket to success: its first laptops, PCs with Intel inside. The new machines were part of a larger plan not simply to crowd into the well-served Wintel market, but to be a bridge for Mac users straying into Windows territory.
However, the air of anticipation for the event - the company is to make a presentation at an Intel extravaganza staged to introduce its Tillamook MMX-equipped microprocessor - has soured. That's because Power is reeling from troubles with Apple Computer.
After Apple refused to grant licenses to its latest and next-generation operating systems, the clone-maker was forced to sell Apple its license to the Macintosh operating system and its 200,000-customer database for US$100 million in stock.
Unnoticed the same day, Power pulled the plug on its IPO.
The decision underlined what was apparent in its original June filing with the federal Securities and Exchange Commission: Power's future was dependent on its Apple licensing deal.
"Since Apple Computer Inc. is acquiring the company's core assets, including its license to distribute the Mac operating system, the company has decided to terminate the public offering," a notice filed with the SEC said.
Then, making the most of its right to sell Mac compatibles through the end of the year, Power cut prices by up to $300 on some of its popular clones on Wednesday. On Thursday, from 1:03 p.m. PDT to 2:02 p.m. PDT, the company held a special "PowerHour" sale, offering to double the RAM (from 64 Mbytes to 128 Mbytes) free for phone-in purchasers of one of its high-end computers, the PowerTower Pro 250.
The silly sales promotions are not the only evidence, however, that Power has retained a sense of humor through this topsy-turvy week. The Power Web site carries the announcement of its sale of "core assets" to Apple just above a wacky press release about the perfect road-tripping music for the last holiday weekend. Perhaps it's a sign that the company is prepared to roll with the times.
