Intel 'breaks' Moore's Law with new Atom chips

But more important to Intel, the chief benefit of Pineview is that it will be able to make tinier Atom chipsets for lower cost -- a benefit it should be able to pass on to netbook makers.

Analysts say the strategy shows Intel is focused on , which are cheaper and more energy-efficient than today's Atom processors, and are just .

But by mostly ignoring performance, Intel could leave an opening for Nvidia Corp. to make inroads with its multimedia-savvy Ion platform.

"Intel wants to serve the broadest market it can, but I think that will leave room for a smaller player like Nvidia to find a niche it can serve very well," said Dean McCarron, an analyst with Mercury Research.