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How big is your hard drive?
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Sure its good enough to RUN Photoshop, but to run efficiently, I would use at least 128 megs of ram. If your working on really large files (50 or more megs or so) running filters can be very slow without enough ram. I'm running 256 megs of ram on a Pentium III 500 and still have to wait for filters to run on large files. Another consideration would be upgrading your video card (if possible) Again, the more ram the better. As for the chip, the SSE instructions in the Pentium III have helped my performance. As always, make sure you optimize all your prefereences (scratch disk, etc.). lowering the number of undos (history pallete) will also improve performance.
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Sure its good enough to RUN Photoshop, but to run efficiently, I would use at least 128 megs of ram. If your working on really large files (50 or more megs or so) running filters can be very slow without enough ram. I'm running 256 megs of ram on a Pentium III 500 and still have to wait for filters to run on large files. Another consideration would be upgrading your video card (if possible) Again, the more ram the better. As for the chip, the SSE instructions in the Pentium III have helped my performance. As always, make sure you optimize all your prefereences (scratch disk, etc.). lowering the number of undos (history pallete) will also improve performance.

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Hey, diddn't I say the same thing?
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Oh, and I posted it as an answer, not a comment.
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Oh, and I posted it as an answer, not a comment.

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I am starting a game development business which will be an offshoot of my dot.com publishing business. I use a laptop with a K6-II at 366 MHz chip and 32 megs of RAM, 4.3 gigs, which I will boost to 96 megs. Is this good enough for Photoshop - and is it much better to use an Athlon or Pentium III? 
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I am starting a game development business which will be an offshoot of my dot.com publishing business. I use a laptop with a K6-II at 366 MHz chip and 32 megs of RAM, 4.3 gigs, which I will boost to 96 megs. Is this good enough for Photoshop - and is it much better to use an Athlon or Pentium III? 

photoshop on PCs

Adobe Creative Suite (CS) is a software suite of graphic design, video editing, and web development applications developed by Adobe Systems. Each edition consists several Adobe applications, including Photoshop, Acrobat, InDesign, Premiere Pro or After Effects. Photoshop, InDesign, and Illustrator are the industry standard applications for many graphic design positions. CS6 is the last version of the Creative Suite; future versions of their creative software would only be available via their Adobe Creative Cloud subscription service.