Chip firm Nvidia has announced a chip for the mobile internet device (MID) market which is has dubbed Tegra.

The chip will allow firms to create machines that let you watch videos and games and Nvidia will claim that the Tegra chip will give a lengthy 26 hours of video on one charge, which will certainly exceed the battery life of devices using Intel's Atom chips.

This is the battle of MIDway, because Intel is expected to bang on about designs its customers will build using the Atom - reports suggest as many as 30 devices will be shown off at this week's Computex show in Ole Taipei.

Intel finds itself ranged against a number of devices using ARM designs - this of course is amusing because we suggested Intel should do exactly the same thing some years ago when it had the XGA chip, itself an ARM design.

But Intel then pooh-poohed the idea, because we suspect it feared such low powered devices might compete with its own push towards Centrino notebooks. The same worry still exists - Intel has banged on and on about the Atom chip but it's a gamble because if MIDs and PIDs are successful, that will undermine notebook sales.

The IT Examiner reported some weeks ago that senior Intel senior executive Sean Maloney conceded that the market for PIDs and MIDs was a gamble. Last week, Via announced its Isiah 'Nano' chip, which directly competes with Intel's Atom.

The war is on. The big question is whether it's a phoney war/ Will people will flock in their millions to buy devices that don't offer nearly as much functionality as a notebook at a price which doesn't necessarily inspire? X