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Matrix actually makes more sense if the machines use the brains as processors
I heard somewhere that this was the original plan. They changed it because computers were new and they didn't think people would understand "using human brains as CPUs"
This is direct from the Wachowskis and 100% true. The studio made them dumb down a ton if computer stuff.
That's a common misconception that's been passed around the Internet so long that it's become common knowledge. There's a great (now deleted, but archived) writeup showing that the Wachowskis always intended humans to be batteries. The actual source of the "processors" idea came from a Neil Gaiman short story written to promote the movie at its release
what is it in the matrix
A power source. It does not make sense.
For the majority of the people it's enough to trigger their suspension of belief.
Honestly, I'd like to see this version. This might explain better why the machines using humans for their own benefit is such a bad thing since, presumably, using humans as CPUs would take up brain power that we could use to build a better society or something.