The Inquirer reports the deall between Dell and AMD is already done, they are just waiting for the right moment to tell the world about it:
Dell is the last big customer that explicitly refuses to buy AMD desktop CPUs but that's all over now, according to a senior executive I talked to from AMD.
This includes consumer products and the announcement is expected in the next few weeks as both Dell and AMD don't want to freak out the OEMs with this sudden decision.
Dell can benefit from AMD CPUs as some of its potential customers want AMD only. Intel is getting the press momentum with the forthcoming Conroe, but it will take a lot of effort for the blue company to fuel up the channel with Core2 Duo CPUs and Woodcrest and, at a later date, even mobile Meroms. AMD can pump enough AM2 CPUs. Pricing, however, is a different kettle of tea leaves.