Intel is shipping a Celeron version of the Pentium M chip used in its Centrino mobile technology. The new processor is intended for budget devices, and could lead to cheaper laptops and Tablet PC systems.

The Mobile Intel Celeron ultra low voltage (ULV) processor is available now at a speed of 800MHz and with 512kB of L2 cache. This is half the cache of the full Pentium M chips, which run at higher clock speeds. Larger caches speed memory access.

Intel said the move is in line with its policy of introducing new technologies to the value Celeron brand some time after they appear in its mainstream chips. Intel has not disclosed prices, but Motion Computing in the US is shipping a Tablet PC with the new chip that cuts $300 (£174) off the cost of the same model with a 1GHz Pentium M.