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Apple to make its own graphics chips for iPhones, cuts ties with Imagination Technologies

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Apple has declared that it would stop licensing the technology of the company from the third parties. As a result of this, the shares of the Imagination Technologies that is a British chip designer has dived by as much as 70 percent. The news was declared by Apple today. This happened after the UK-based firm released a statement that read the fact that Cupertino will reduce its future reliance on the services offered by the Imaginative Technologies. This is due to the fact that it will be working on independent and separate graphics design. This is aimed at controlling its products and services.

The recent developments were quite a disaster for the Imagination Technologies. Around 50 percent of the revenues of the company came from Apple. Cupertino is a key investor in the technology firm since the time of 2008. Cupertino is also one of the largest shareholders of the Imagination Technologies. He owns around 8.2 percent of the company’s stake. The tech giant Apple was close to buying Imagination Technologies a year back. However, it decided against the move.

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As per the released statement, the Tim Cook & Co. “Apple” will stop using the products and services offered. This step will be taken in a period of 15 to 24 months time. This implies the fact that the iPhone series that will come in 2018 will feature completely Apple-designed chipset. However, Imagination Technologies that is the leading British GPU maker is quite skeptical about this decision made by Apple. It is doubtful whether Cupertino will be able to produce a graphics chip on its own without causing any infringement to the intellectual property or the patents owned by the Imagination Technologies.

Let us look forward to the new advanced iPhone models by Apple.

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