AMD is developing a low-power processor for mobile devices and sub-notebooks, quashing speculation that it had abandoned the project. The chip will compete with Intel's Atom processor.
AMD declined to comment on release dates.
Plans to develop a low-power chip, code-named Bobcat, were first revealed by AMD last year.
The company subsequently went quiet about Bobcat, leading to speculation that it had abandoned the project in the wake of consecutive quarterly losses and restructuring.
AMD could be a late entrant to the market of low-power chips for mobile devices, which is rife with competition. Intel, Via and all have products in that space and Apple is also looking at it, using its acquisition of PA Semi to develop system-on-chips for the iPhone.