Asus is teaming up with Intel and US wireless carrier Sprint to unveil the latest version of its Eee PC at the upcoming CES show in Las Vegas.

The industry is awash with rumours that the device will support Windows and the much-hyped WiMax.

Industry watchers believe that the inclusion of WiMax in products such as the Eee PC, in addition to Intel's plans to integrate the technology into Centrino, will give it much needed credibility in Europe.

A Windows version of the Eee PC would represent the culmination of recent efforts by Microsoft to get its operating system to run on low-cost, low-spec systems.

The software giant has struggled to get even a stripped down version of Windows to run on lower specification devices, such as the One Laptop Per Child XO and the Eee PC.

The latest Eee PC will also feature an increased screen size of 8.9in, according to reports in Taiwan's Commercial Times.