they're competing with intel! :)..
Not really, because Intel has sadly left pretty much all of the traditional embedded markets now. In the days of the 8080. 8085, 8048, 8051, 8032 even 8088, 8086, 80188, 80186 Intel ruled the roost in many respects. But now even the 80386SX and other newer embedded devices are discontinued.
So people who traditionally used Intel now need to migrate. Many that I know are choosing soft-cores, such as the Altera NIOS-II, but things like the ARM-7TDMI, ARM-CORTEX-M3 are also very popular alternatives with the XMEGA-AVR set to join the ranks.
The geek!