The Pentium II was basically a more consumer-oriented version of the Pentium Pro. It was cheaper to manufacture because of the separate, slower L2 cache memory. The improved 16-bit performance and MMX support made it a better choice for consumer-level operating systems, such as Windows 9x, and multimedia applications. Combined with the larger L1 cache and improved 16-bit performance, the slower and cheaper L2 cache's performance impact was reduced. General processor performance was increased while costs were cut.
Source[ Wikipedia ]