I read somewhere(I think it was at geek.com) .
Here is the link,that the new celerons are in actuality the defective P4s and releasing these celerons is INTELs way of salvaging the trash.What they do is look for the chips which have the core intact and disable all except 128 KB of l2 cache and presto! here is a celeron 2600MHz or 2800MHz or whatever.
I agree that most people who buy computers buy it as a utility like TV or washing machine etc. Most of them are not aware that the computers are made of modular components which can be mixed and matched. They only want a 'COMPUTER'.
The celeron sells because of three reasons.
First, because it is intel. Most of the customers are fully aware of the presence of INTEL, and the rest at least vaguely know that there is a company named INTEL in the computer bussiness..Not so with AMD.They might be doing a good job but keeping it under the wraps doesn't pay.
Second, because it doesn't make much diffrence in performance if all you ever do is opening/closing office document and do a little bit of typing and emailing. Here you cannot convince a fellow that it is wise to go for a cheaper and better performing athlon rather than celeron, because you cannot show him any visible improvements in such applications.Such a person might attribute superior performance of a system(Which may be , for example,becuse of more RAM) to the processor, and if it is INTEL , then he will always have the impression that yes! intel is great.
Third, because Intel are more conservative in their approach where the performance vs stability of system is concerned.They make their own chipsets and even mobos, which do not allow the user any freedom to tinker with parameters , which may lead to system instability. So a user is happy with intel beacuse heis system never hangs.And such a user makes a beeline for an intel based system iven if it is lowly celeron