A context controller for managing multitasking in a processor and a method of operating the same. In one embodiment, the context controller includes: (1) foreground and background task controllers that allocate processor resources to active contexts corresponding to foreground and background tasks, respectively, and (2) mode switching circuitry, coupled to the foreground and background task controllers, that places the processor in an idle state and a power saving mode when all of the contexts are inactive.
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