Imagination Technologies is a British firm that designs graphics chips. We can find these chips inside different Apple products. The company’s PowerVR graphics technology was present in iPhone, iPad, and iPod for years now. This is why the British company can state that they had a big surprise when Apple announced them they are going to terminate their contract in less than two years from now. To be more exact, the Cupertino-based tech giant recently notified Imagination Technologies they will no longer use the company’s intellectual property in its new products. The information came from the British company via a press release on Monday, April 3.

The reason why Apple decided to ditch the British company seems to be that it is working on a separate, independent graphics design. This way, the tech giant will be able to better control its products. It will also possibly reduce its costs with the GPUs. According to some people, the Cupertino-based company quietly hired Imagination staff in order to develop its own graphics chips. However, neither party confirmed this information. What is certain is that Apple now has its own team to develop future GPUs. This is why it and can afford to ditch Imagination Technologies.

A problem that may occur in the future regarding the matter is the use of similar technologies, that could violate Imagination’s patents, intellectual property, and confidential information. In the press release, Imagination Technologies pointed out to the fact that they required Apple to produce evidence that shows they won’t use the British company’s technology. However, the tech giant failed to provide this kind of information. The British graphics chips designer is not happy about the licensing agreement ending. Even so, it is open to discussing with Apple potential alternative commercial arrangements for the current license and royalty agreement. Further information regarding the matter will arrive at a later moment, according to Imagination Technologies.

Source: Imagination Technologies Group plc

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