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Well, is starts with C, so it matches Carbon and Classic. That's about all I can say for it.
I think it was a very odd choice, since Apple already had a development platform called Cocoa. It was not very well-known. I think it was targeted to schools and was somehow related to HyperCard (this was well after the death of HyperCard). I have no idea what's become of that Cocoa. I guess they discontinued it.
I suppose they could have called it AppleStep, which would have better communicated its origins (NextStep). Or they could have kept their original name from the Mac OS X Server days, Yellow Box. But I don't think an API really demands an apple-themed name. They've never given a development technology an apple-themed name.
Personally, I'm more interested in knowing why the iPod was not called the Grannysmith.
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