The new silicon, codenamed Steeley, will almost certainly be based on Intel's new 45-nanometer process to guarantee greater efficiency. Intel is building or converting a rush of fabs to the 45-nanometer process as it seeks to gain even more production and energy efficiency from its product lines.
The new development is also likely to bring the prices of ultra mobile PCs (UMPCs) down. Currently the devices ship with ultra low voltage (ULV) variants of the Core processor series.
Steeley is likely to appear first in a reference design codenamed McCaslin by the end of the year. That given, we'd bet the first serious attempts at marketable Steeley-based UMPCs will appear at CES 2008.
Samsung launched its latest UMPC, the Q1 Ultra, at CeBIT last week.