Technically the move to 65nm began when they started planning it, but today is the day AMD issued a press release announcing availability of 65nm CPUs.
The benefits of a move from 90nm to 65nm are twofold. First, there's the die-shrink obtained by the change in manufacturing process, which makes for reduced power consumption (and less heat output). Second, more CPUs can be fabbed on a single 300mm wafer, presuming of course that the 65nm process has a good yield.
As we tend to see from AMD, a process-shift entails a simple die-shrink rather than a feature update, something that's worked to AMD's advantage in the past. Still, it paves the way for the next 'generation' of desktop and server CPUs, while for now, those who buy up the new 65nm chips can enjoy cooler systems and racks.
Increased yields are a plus too, given the criticisms we've aired in times not so long ago.
Still, a complete switch to 65nm will take a while, AMD marking mid-2007 as the completion date for Fab. 36. However, a quick check at one of the usual suspects reveals 65nm stock at the time of writing.
For more details on the transition, check out AMD's girthy press release.