Apple making its own mobile GPU, to dump Imagination within two years

Posted on Monday, April 03 2017 @ 18:28 CEST by Thomas De Maesschalck
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Imagination Technologies investors received a cold shower today as shares closed 61.60 percent lower on news that Apple will stop using Imagination's intellectual property within 15 to 24 months. Imagination said Apple will be adopting "a separate, independent graphics design", which strongly suggests Apple is making its own mobile GPU for the future Apple A12 SoC.

The company says it will negotiate with Apple about potential alternative ways to license its technology. Imagination Technologies stresses that developing a mobile GPU is very complicated and claims Apple is unlikely to be able to do so without infringing on its patent portfolio. Apple on the other hand is confident it can design a GPU without Imagination's technology:
However, Imagination Technologies disputes the claims that Apple will be able to rollout an independent GPU architecture without infringing on its patent portfolio. In a statement, the company said:

Apple has not presented any evidence to substantiate its assertion that it will no longer require Imagination’s technology, without violating Imagination’s patents, intellectual property and confidential information. This evidence has been requested by Imagination but Apple has declined to provide it. Further, Imagination believes that it would be extremely challenging to design a brand new GPU architecture from basics without infringing its intellectual property rights, accordingly Imagination does not accept Apple’s assertions.
Imagination stock price chart

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