Multi-Core CPU's have multiple processors in them. Most CPU's come with either 2, 3, 4, 6 or 8 cores. All the cores will run at the same speed. This means that if you have a quad core that runs at 3.3GHz, you will have four processors all running at 3.3GHz. Having more cores helps a lot with handling multiple tasks at one time. Some programs or games are built to fully utilize multi-core processors. Otherwise the other cores will remain idle with little or nothing to do.
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