We read at EngadgetHD that Panasonic’s 3rd generation UniPhier processor will be the first single chip processor designed to handle picture-in-picture and all other necessary Profile 2.0 features. DTS-HD MA, Dolby TrueHD, DivX 1080p, Ethernet controller, laser control and graphics engine are all included.

The chip is a die shrink from the previous generation, and should achieve higher yields and lower prices as a result.

Sample shipments start in June so perhaps we will see players based on this for the holiday season.

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