Dell puts low-power netbook chip in new server

Each chassis will contain fewer fans and power supplies compared to a traditional 1U tower server, Schulke said. Nano chips require smaller fans and consume 20 to 29 watts at full capacity, Schulke said. Systems with traditional server chips, like Intel's Xeon chips or Advanced Micro Devices' Opteron chips, generally require larger fans.

The servers will be available soon worldwide through distribution channels, Schulke said.

Schulke didn't say if Dell was considering a low-power Atom processor, though other companies offer servers with the low-power chip. SingleHop, a U.S.-based server vendor, and U.K.-based Tranquil PC Ltd. are selling Windows Home Server PCs running Intel's low-power Atom desktop CPU.

Via is also trying to expand the use of its Nano chip in servers and media servers. Two weeks ago, the company announced the VB8002 Mini-ITX motherboard for media servers that deliver video and audio content to TVs, multimedia PCs and other consumer devices.