Apple did not want their x86 chips, they wanted their Xscale stuff. Apple went to Intel to get chips, the power envelope was appealing to Apple. Intel was the one to say no.

Right. But of course, intel was busy spinning off their Xscale business to Marvell. If they had seriously invested in it, they could have owned the coming mobile revolution.

They did push hard on their UMPC x86 SoCs (Paulsbo and derivatives) to Sony, Nokia, etc. These were never competitive on heat or battery life.