Systems with these processors will simply be labelled as "Intel Inside", removing the negative associations that the low-end Pentium and Celeron brands have garnered.
Basically, it's an attempt to get people to buy low end hardware without realising it'd perform badly.
I'm not sure what the result of this will be. I can see this potentially going sour if people get to associate "Intel Inside" with low performance (what they previously associated with "Pentium" or "Celeron"), but on the other hand, putting "Intel" front and centre, instead of "Pentium" or "Celeron", should raise the Intel brand awareness.