Intel unveils Pentium III

Intel takes the wraps off its latest processor today - the Pentium III.

With more multimedia instructions than its Pentium II predecessor - including the low-end Celeron and high-end Xeon PII incarnations - the company claims the PIII will greatly improve Internet usage.

However, while the chip giant is predicting the product will fuel ecommerce, privacy groups have continued to attack the ID serial numbers that each processor comes with.

In the latest attack, Dr Brian Gladman, technology policy advisor for pressure group, Cyber-Rights & Cyber-Liberties and an ex-NATO encryption expert, said: "The lack of consultation on this issue has been huge. It shows they've got to change their attitudes."

Intel has proposed a software fix whereby consumers will have to switch on the chip ID, rather than buy PCs with the device pre-activated.

John Woodget, technology and training director for Intel's EMEA sales organisation, told Silicon.com: "Businesses do not want to be swayed by minority interest groups."

In the US, the Center for Democracy and Technology, the Electronic Privacy Information Center and others have all protested over the chip ID, and originally threatened to boycott Intel products.

Intel did admit it could have consulted end users more, but said it will continue to discuss the issue with the UK Data Protection Registrar and privacy groups.

Dell, one of Intel's major PIII customers, said it will disable the ID on consumer machines. But James Griffiths, Dell's Optiplex product manager for UK and Ireland, said: "The processor ID is certainly something business has been crying out for. For manageability and total cost of ownership, we think it's a fantastic feature."

Other PC manufacturers such as Compaq, Siemens and Toshiba have announced systems that use the new processor, which will originally ship at speeds of 450MHz and 500MHz. Higher clock speeds will be introduced in the second half of the year.