Fri Aug 18, 12:45 AM ET

SAN FRANCISCO - Dell Inc.'s announcement that it will expand its use of Advanced Micro Devices Inc. microprocessors is another win for the smaller chip maker against larger rival Intel Corp.

Dell said Thursday it would begin using AMD's chips in a new line of servers and desktop PCs as early as next month. The announcement came four months after Dell ended a long-standing exclusive relationship with Intel and agreed to start using AMD processors in some servers.