The chips will be aimed at ARM's usual domain of smartphones, netbooks and other small devices. The collaboration will only further strengthen ARM's position in the mobile and embedded market. It comes at a time when major players are frivolously working toward a die shrink, such as Intel and its 32nm manufacturing process.
Intel's next-generation Atom processors are expected to be a more viable option in the mobile realm. The company is placing much focus on the upcoming Atom chips, which will feature a system-on-chip (SoC) design. The chips will include an integrated single-channel DDR2 memory controller and graphics core -- which is especially valuable in mobile devices.