In the mid-1990s, Apple embarked on a bold but brief experiment that would reshape the Macintosh landscape: licensing its operating system to third-party manufacturers. This decision, which lasted from 1995 to 1997, allowed companies to produce their own Mac-compatible computers, known as Mac clones. Let’s explore this fascinating chapter in Apple’s history and understand why it ultimately came to an abrupt end.
The Birth of Mac Clones
Apple’s decision to license its operating system was a response to the dominance of Microsoft Windows in the personal computer market. By allowing other companies to manufacture Mac-compatible machines, Apple hoped to expand its market share and compete more effectively with the ubiquitous Windows PCs.
Key Players in the Mac Clone Market
- Power Computing: Founded by Steve Kahng, this company became the most prominent and successful Mac clone maker.
- UMAX: Known for its SuperMac line of clones.
- Motorola: Entered the market with its StarMax series.
- DayStar Digital: Focused on high-performance multiprocessor systems.
These companies brought innovation and competition to the Mac ecosystem, often beating Apple to market with faster processors and more competitive pricing.
The Impact of Mac Clones
The introduction of Mac clones had several significant effects on the market:
1. Increased Competition
Clone makers pushed the boundaries of Mac hardware, forcing Apple to innovate faster and compete on price. This benefited consumers, who suddenly had more choices and better value in the Mac market.
2. Expanded Mac Ecosystem
The availability of less expensive Mac-compatible computers helped grow the Mac user base, potentially increasing the market for Mac software and peripherals.
3. Technological Advancements
Companies like Power Computing were often quicker to adopt new technologies, such as the PowerPC 750 (G3) processor, pushing Apple to keep pace.
The Beginning of the End
Despite initial success, the clone experiment began to unravel in 1997. Several factors contributed to its downfall:
Financial Strain on Apple
The licensing fees Apple received from clone makers (around $50 per unit) did not offset the lost revenue from customers choosing clones over Apple-made Macs. This put significant financial pressure on Apple, which was already struggling.
Steve Jobs’ Return
When Steve Jobs returned to Apple in 1997, he viewed the clone program as detrimental to Apple’s core business. Jobs believed that Apple’s strength lay in controlling both hardware and software, a philosophy that would define the company’s future success.
The Mac OS 8 Controversy
Apple’s release of Mac OS 8 in July 1997 marked a turning point. Through legal maneuvering, Apple ensured that this new OS version was not covered by existing licensing agreements, leaving clone makers in a precarious position.
The Showdown at Macworld Expo 1997
The August 1997 Macworld Expo in Boston became the stage for the final act of the Mac clone era:
- Power Computing showcased impressive new clones featuring the PowerPC 750 chip.
- However, uncertainty loomed as Power Computing warned that these products might never see the light of day.
- The company attempted to rally support with a “We demand choice” campaign among attendees.
Apple’s Strategic Moves
In the aftermath of Macworld Expo, Apple took decisive action:
- Negotiations with clone makers to end or modify licensing agreements.
- On September 2, 1997, Apple announced the purchase of Power Computing’s core assets for $100 million in Apple stock.
- Gradually, other clone makers exited the market as their licenses expired or were terminated.
The Legacy of Mac Clones
While short-lived, the Mac clone era left a lasting impact:
- It demonstrated the potential for innovation in the Mac ecosystem beyond Apple’s direct control.
- The experience reinforced Apple’s commitment to integrating hardware and software, a strategy that has defined its success in the 21st century.
- Some argue that the competitive pressure from clones helped Apple refocus and innovate, setting the stage for its later resurgence.
The Mac clone experiment, while ultimately abandoned, remains a unique chapter in Apple’s history. It showcased both the potential and pitfalls of opening up a tightly controlled ecosystem. As Apple continues to thrive with its integrated approach, the clone era serves as a reminder of the road not taken in the evolution of the Mac platform.