The POWER3 is a microprocessor, designed and exclusively manufactured by IBM, that implemented the 64-bit version of the PowerPC instruction set architecture (ISA), including all of the optional instructions of the ISA such as instructions present in the POWER2 version of the POWER ISA but not in the PowerPC ISA. It was introduced on 5 October 1998, debuting in the RS/6000 43P Model 260, a high-end graphics workstation. The POWER3 was originally supposed to be called the PowerPC 630 but was renamed, probably to differentiate the server-oriented POWER processors it replaced from the more consumer-oriented 32-bit PowerPCs. The POWER3 was the successor of the P2SC derivative of the POWER2 and completed IBM's long-delayed transition from POWER to PowerPC, which was originally scheduled to conclude in 1995. The POWER3 was used in IBM RS/6000 servers and workstations at 200 MHz. It competed with the Digital Equipment Corporation (DEC) Alpha 21264 and the Hewlett-Packard (HP) PA-8500.

PowerPC is a reduced instruction set computer (RISC) instruction set architecture (ISA) created by the 1991 Apple–IBM–Motorola alliance, known as AIM. PowerPC, as an evolving instruction set, has been named Power ISA since 2006, while the old name lives on as a trademark for some implementations of Power Architecture–based processors.