The potential deal, reported in yesterday's Los Angeles Times, would attempt to marry technology with content -- Apple's computer gear with Universal's music. The talks were being held as Apple works on software that would enable users to download music in an easier, less-technical manner than currently exists on legal and illegal music sites.

The potential deal left other PC makers scratching their heads and led Wall Street to punish Apple stock. Apple shares fell 8.1 percent yesterday, to $13.20. Shares of Vivendi Universal, which has lost more than 70 percent of its value over the past two years, jumped in morning trading on news of the possible acquisition before closing down 0.29 percent, at $13.86.

Apple, founded and run by the black-turtleneck-favoring [Steve Jobs], owns a loyal but tiny slice of the personal computer market -- about 3 percent -- with its stylish iMac desktop and PowerBook laptops. Apple gadgets, such as the popular iPod MP3 player, and software, such as the Final Cut Pro video editor, have expanded the California company's market share. Along with the Walt Disney Co., Apple co- owns Pixar Animation Studios, which has produced animated hit movies, such as "Monsters, Inc."