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What is a processor? What exactly is changing?
The processor, or CPU (Central Processing Unit), is the microchip responsible for general interpretation of and processing of instructions from software. It is the component that makes a computer a computer. Originally, Apple computers used the Motorola 68000 series of chips as CPUs. By the mid 1990s, these were obsolete so Apple switched to a series of chips named PowerPC. Now Apple is moving to the Intel line of CPUs. Binary computer instructions written for one family of processor chips generally don't work on a different family.
Why is Apple switching to Intel processor?
Heat — PowerPC chips use much more electricity and generate much more heat than comparable Intel chips. This is why the PowerPC G5 was never put in a laptop. Cooler running chips also make compact computers, such as the iMacs and Mac minis, easier to design.
The Future — IBM, which controls the development of the PowerPC chip, is now concentrating on using it with servers, gaming consoles, and embedded systems (cars, copier machines, etc.) rather than desktop and laptop systems.
Can programs intended for PowerPC run on Intel Macs?
Yes, thanks to a technology called Rosetta. Rosetta translates PowerPC program code into Intel code, and it does it invisibly in the background. Most OS X programs will work on an Intel Mac just like they do on a PowerPC Mac, though if they are not optimized or updated for Intel they may run more slowly than they would on current PowerPC Macs. Some PowerPC programs that depend on special features of the chip may not run. Examples of this include VirtualPC, Final Cut Pro, and some screensavers. They may eventually be updated to run on Intel.
Many programs are now in Universal Binary format. This means that they run natively on Intel or PowerPC macs. We expect most major OS X software products (such as Microsoft Office and Adobe Photoshop) will have universal binary versions available by the end of 2007.
Programs intended for OS 9 (including the MacOS X "Classic" environment) will not run on Intel Macs.
How do I know if a program is meant for a PowerPC or Intel Mac?
Remember that almost all OS X programs for PowerPC will run on Intel Macs, just a little slower. Universal Binary programs, which run at full speed on Intel or PowerPC Macs, are marked with a special symbol:

IT Services can also advise you if a program is a Universal Binary or not.
Can my Intel Mac catch a Window virus or spyware?
No. Viruses or spyware for Windows won't run on any Mac (see below). Mac specific viruses and spyware are thankfully rare.
Can programs intended for Windows run on Intel Macs?
Not in the Mac OS. It is not just about the chip, Windows is a different operating system and programs for it have a radically different structure. It is possible to get an Intel Mac to boot the Windows OS itself, but this is not easy and not supported by ITS. It would also cost extra for the Windows OS software. Companies are coming out with other pieces of software that will run Windows programs while booted from the Mac OS, but these are still in the early stages of development and release.
Will Windows computers be able to run Mac OS?
No. Apple prohibits this. Also, several other pieces of hardware differ between Macintoshes and PCs intended to run Windows, making it difficult to do.
When will the transition happen?
The first Intel Macs for general use were released in January, 2006. All new Macs will use Intel processor by January, 2007.
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Apple's Intel in Macs website
A longer set of FAQs similar to this (off-site)
ITS Macintosh Lab Application compatibility
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