Hewlett-Packard is apparently ending its relationship with Apple.

When I last wrote about the company I called this relationship a key to new CEO Mark Hurd's future. Apparently this was just a re-sale agreement, and H-P's channels were pushing out only 5% of the iPods being sold. (My mistake.)

So they're dropping it. And they're blaming Carly Fiorina. (Of course.)

But I believe Apple remains the key to any possible H-P comeback. (Here's why.)

Shaw Wu of American Technology Research approved the deal in AP's story, calling H-P "a technology company and "an innovator."

But in the PC business, which is the heart of the market's volume, what innovation is possible?

Is H-P going to suddenly push Linux desktops? No? Then there are only two kinds of PCs it can make -- Windows PCs and Macintosh PCs.

H-P has been flailing in the Windows market for years now, trailing Dell badly because it can't cut its costs and distribution channels far enough to match Dell's just-in-time manufacturing and pricing.

For Hurd to try to out-Dell Dell would be stupid. I don't care if he's got Michael's old CIO. Copying someone else isn't innovating.

But if he applied his mass production and distribution techniques to something with mass appeal but without mass sales -- say the Intel-based Macintosh due out in 2006 -- he might be able to do some business.

Now, it's possible that Jobs doesn't need this service. Obviously H-P didn't perform in terms of the iPod. A 5% share of iPod sales hardly seems worth the trouble.

But if H-P isn't going to make Macs, how is it going to grow?