"...Celeron chips have a smaller L2 cache, 128kb compared with 512kb in the Pentium 4 Northwood, which translates into slower processing speeds. In fact, current Celerons have a clock speed limit of about 2.0GHz, where as the Pentium for is capable of speed in excess of 3.0GHz. In addition, the Pentium runs at a lower core voltage because it is more energy effecient (1.75V vs. 1.5V).
In summary, the Pentium 4 is more powerful than the most advanced Celeron processor on the market. However, Intel has planned it to be this way. Many applications will work just great with a Celeron processor, despite a little less power than the Pentium 4. It is a way to save a little cash when buying a new pc - but don't forget the saying "you get what you pay for." Celeron processors are of good Intel quality, but they will never be as good as the Pentium..."