FUD Zilla takes a critical look at Intel's Larrabee project and says there's no reason to get excited yet. The site believes it will likely take Intel until 2010 before Larrabee parts will be available on the market and they speculate it might take until 2011 before the driver support of Larrabee is good enough:
The Larrabee hype started in late 2007 and it doesn’t look that you will see this product before the end of 2009, but most likely not until 2010.
Let me try to draw some parallels here. In 2010 Nvidia will launch the Geforce 11 series, at least one if not two more GPU generations and the same goes for ATI. ATI should be talking about the RV970 generation of its GPUs.
Even if Intel gets things right on the hardware side, it will still fail with many games with its dodgy drivers, so it will probably take most of 2010 and at least 2011 to get things right with the drivers, especially when it comes to legacy games.