The world`s biggest chip maker, Intel, has unveiled the chipset it is banking its immediate future on and one it hopes will shake up the market.

The product, code-named Sandy Bridge, is Intel`s first architecture to merge a microprocessor and graphics processor onto a single silicon chip.

It is designed to cut the time it takes to produce images.

"Sandy Bridge will revolutionise PCs again," Paul Otellini, Intel`s chief executive told its annual developer forum being held in San Francisco.

"On one single chip, we`ve put in place all the critical capabilities for computing. This is a very important chip for Intel," he added.

The chip will target low-end desktop computers and laptops and is expected to be ready to go to customers early next year.

Putting the two processors together will cut the time it takes to produce images as it removes bottlenecks between the graphics processor and memory.

It will also improve battery life and power consumption.

Sandy Bridge is expected to cause headaches for Intel rival Nvidia, the maker of stand-alone graphics chips.

BDST: 1325 HRS, 15 September 2010