The new CPUs will be officially launched by the end of this year, while related Netbook products will begin shipping in the first half of 2009.
AMD's low-cost PC processor will be based on the company's previous-generation K8 architecture and will support 64-bit instructions. The CPUs will be a single-core model with a frequency of 1.2GHz and will be manufactured on the company's 65nm process, the report said.
AMD expects its low-cost PC processor to be priced slightly lower than Intel's Atom and has started negotiating with Micro-Star International (MSI), Hewlett-Packard (HP), Acer as well as with vendors in China to win orders.