Nvidia has stressed that tablets need mobile chips that can provide long battery life, an area where Arm designs hold an advantage over Intel designs. Arm processors are used in most smartphones, and are starting to appear in more computing devices like low-cost laptops and tablets.

While Intel holds the upper position in the netbook space, Arm-based chips are making their presence felt in low-cost devices like smartbooks. Lenovo launched the Arm-based Skylight smartbook at CES, while HP said it was developing such a device.

Intel didn't comment on the specific Atom chips that would be targeted at tablets. The company offers multiple Atom chips for netbooks and embedded devices, and recently announced the new Pine-Trail platform for netbooks, which achieves higher levels of integration to fit into smaller devices.

Kilroy also said that the company is pushing further into mobile Internet devices and smartphones. Devices based on its upcoming Moorestown platform would come towards the end of the year, Intel CEO Paul Otellini said in a keynote speech on Thursday. Otellini showed the LG Electronics GW990, its first smartphone based on Moorestown,