After all, Atom-based , and .

Concerns that Atom sales could undercut the Celeron go back at least to last summer, when reported on concerns about "the challenge Atom presents for Intel." The new chip, according to two analysts not named in the article, "potentially cannibalizes a market that the longstanding -- and higher-performance -- Celeron processor has thrived in." Intel CEO Paul Otellini responded that "We do not see (Atom) replacing Celeron."

But expectations of lower sales all around for Intel make the question more urgent today. The chip maker is set to release its fourth quarter report this week, and according to , "Intel called for fourth-quarter revenue of [US]$10.1 to $10.9 billion. and then earlier this month, the company cuts its forecast to $8.2 billion."

analyst John Spooner told the Industry Standard that while he expects the Atom to eat some Celeron market share, it won't be huge. "I don't think you're going to see a huge double-digit drop in Celeron sales, at least not right away."

The two processors attract significantly different markets. While the Atom appeals to "customers that only care about basic Internet access...and the rock-bottom lowest PC cost," the Celeron offers a full computing experience. "I'm not sure [that many] users will give up that performance for what amounts to $100."