<ul><li>In 1994, Apple signed a licensing deal with Power Computing, allowing them to produce Macintosh-compatible computers.</li><li>The decision was driven by falling market share and competition from Microsoft's software-licensing strategy.</li><li>However, the licensing strategy ended up hurting Apple financially, as it led to cheaper 'Mac clones' and reduced earnings per unit.</li><li>Eventually, Apple bought Power Computing's Mac business to end the Macintosh clone era.</li></ul>

Today in Apple history: Apple signs ‘clone Mac’ deal

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