Intel (INTC) and Founder have signed a memorandum of understanding to conduct business in China's Internet cafe sector.

Under the agreement, more than 20 cafes in China will use Intel's customized "Ying Bao Tong" PC which is specially designed for cafes. Founder will also offer a 22% preferential discount for cafe owners who buy the computer.

The customized PCs adopt special network management software and special firmware for use within high-volume Internet cafes.