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Apple is keeping it pricey with a $49 cable for its new Thunderbolt interface.  (Source: Ubergizmo)

  (Source: iFixIt)

Apple's Thunderbolt cable contains over 10 chips  (Source: iFixIt)
But this cable has chips, so it must be worth it!

Apple, Inc. (AAPL) is borrowing a play from Monster Cables offering a cable that's almost as pricey as the peripherals it plans to support.  The new Thunderbolt cable will retail for $49 USD.

Plugging in to the Mini Display Port of new MacBook Pros and iMacs, the cable offers support for "Thunderbolt", a new high speed communications standard from Intel Corp. (INTC).  With the first peripheral (a RAID drive bay from Pegasus) launching, attention has turned to this pricey little number.

IFixIt tore the white cable apart and found a pair of Gennum GN2033 chips hiding beneath the sheathing, with one on each connector of the cable.  In total there were also 10 other smaller tiny chips and an assortment of transistors, etc.

Gennum's webpage brags that its chip takes normal cables and offers "sophisticated signal boosting and detection functions required to transfer high-speed data without errors."

Of course nobody seems to know how much these chips cost so it's hard to say exactly how much profit Apple is pulling in off the cables.

Adoption is expected to be slow for the standard.  Like Apple's original Firewire standard, the price of the communications band (in this case the cable) offers a barrier for market entry.  It doesn't help that Hewlett-Packard, Company (HPQ) already abandoned plans for Thunderbolt, or that Sony Corp. (TYO:6758) has released a special version of the tech that relies on a modified USB 3.0 optical port.  

And there's the question of USB 3.0, which has already seen much more broad adoption.  USB 3.0 offers transfer speeds of up to 4 Gbit/s.  While only about half the speed of the current Thunderbolt implementation, that's still pretty blazing fast so the question remains how many customers will actually notice a difference.

To Monster Cables' credit, at least it only charges $29 for its "gold-plated" USB 2.0 cables, which it brags "rejects noise" and works to "maximize signal integrity."  Sound familiar?





"So, I think the same thing of the music industry. They can't say that they're losing money, you know what I'm saying. They just probably don't have the same surplus that they had." -- Wu-Tang Clan founder RZA



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