The following copyrighted story appeared on the AP just a little while ago.
It's interesting enough that I'll take the risk and repeat it in full here.

Wirt Atmar

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BOSTON (Aug. 6) - Apple Computer Inc. and Microsoft Corp., two of the
computer industry's fiercest rivals, unveiled a stunning alliance this
morning that includes a $150 million Microsoft investment in Apple.

The two companies agreed to put aside a long-running dispute over whether
Microsoft infringed on Apple's patents when it created its top-selling
Windows operating system.

Microsoft agreed to release versions of its popular Office software for
businesses in Macintosh formats. Also, Apple said it would make Microsoft's
Internet Explorer browser the easiest choice for accessing the Internet from
a Macintosh computer.

The unexpected revelation by Apple cofounder Steve Jobs in a keynote speech
at the Macworld Expo here this morning, prompted gasps of disbelief and loud
boos from the audience of thousands of Mac users and software developers.

Jobs, attempting to soothe the audience, said: ''We have to let go of a few
notions here. We have to let go of the notion that for Apple to win,
Microsoft needs to lose.''

The two companies' agreement to work closely together shows the depth of
Apple's desperation to reverse years of sliding market share, mounting losses
and management defections.

Apple has long been viewed at the core of the small group of computer
companies that have been resisting the industry's shift to machines running
on Microsoft software.

Bill Gates, chief executive of Microsoft, appeared on an overhead screen at
the Macworld convention to praise the new alliance. But his mere appearance
spurred another round indignant shouts from a crowd that included some of the
world's most passionate users of the Mac.

''We think Apple makes a huge contribution to the computer industry,'' Gates
said, adding that the combined expertise of the two companies should help
bring technological innovations to market faster.

Jobs, who had been the object of on again-off again speculation that he would
be the next chairman, said the company had not yet made a decision on who
would lead it.

Jobs, however, was named a board member along with Larry Ellison, the founder
and chief executive of Oracle Corp., the world's second-largest independent
software company after Microsoft.

The other new board members are Jerome York, former chief financial officer
of IBM and Chrysler, and Bill Campbell, chief executive of Intuit, maker of
the popular Quicken personal finance software. Campbell is a former vice
president of sales at Apple.

Microsoft and Apple also agreed to work together to develop software written
in Java, a computer language that enables software to work on different
operating systems.

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