AVR microcontrollers from ATMEL are very good choice for designing mid-range embedded systems.They are 8Bit RISC controllers. They come in many verities and most of them gives 16MIPS (Mega Instructions Per Seconds) throughput at 16MHz .
Unlike most of the popular PIC microcontrollers, AVRs have powerful instruction set, most executing in 1 cycle. Recently ATMEL has introduces some new controllers with speed upto 20MHz and USB support.