A modified version of XScale CPU will not work for UMPCs. Why didn't Intel just use the Ultra Low Voltage CPUs they use for smaller notebook computers for the new UMPCs? It’s a question yet to be answered. The XScale proved that the Intel requires an x86 processor, and it’s that only. The Core 2 Duo ULV runs around 1066 MHz - 1333 MHz with 2 MB cache. It uses less than 1 volt of power even when a complete load. It will be a great CPU for the new UMPCs series.

It would be perfect for UMPC like the ASUS EEE as it’s on the greater side of the UMPC spectrum, and has enough space to keep it cool, and has the room to hold it in there as well, but the ULV CPUs will cost around $300, so you’ll be required to rise up to $200-$250. It will effect EEE in a big way.

When it comes to the handheld UMPC level, even the CPU running at 10 watts, will be hot for the device. Physical size of the CPU can be an issue though. And once again, and again some $200- $250 will be required to charge for the device.