Information Technologies Will Sell Businesses Amidst Patent War With Apple
Imagination Technologies has been Apple’s provider for graphics chipset for many years now. However, the tech giant from Cupertino has decided that it is ending their business relationship.
Back in March, Imagination Technology announced that Apple will no longer use the graphics they are manufacturing but instead will make their own. However, the former believed that the tech giant cannot possibly make its own graphics chip without any infringement of its patent. Apple disagreed and due to this, Imagination is resorting to a dispute resolution procedure which is in the existing licensing agreement they had, reported Engadget.
Imagination Technologies even stated that Apple did not present to them any substantial evidence that will prove that it is no longer need of the technology they offer without violating the company’s patent, intellectual property, and confidential information, The Verge reported. Another point to consider is that Apple has been a shareholder on Imaginations Technologies, behind its previous claims that it is not taking steps to acquire the company. Imagination Technologies also entertains another option to get through this rough time on their business.
It is also thinking of selling its other business focusing on embedded processors and the other one is related to mobile and IoT. For years, Imagination Technologies has been behind the design of iPhone’s Power VR graphics which has also been essential to iPads but Apple thinks that it can’t depend anymore on a third party to manufacture a very integral part on their iOS devices, Tech Crunch reported. With this quandary, Imagination Technologies has decided to get the licensing revenue from Apple. The British firm might be in the crucial time of their business now.
Its business decision after this will make or break it. Unfortunately, just the mere Apple’s announcement of dispatching them made the company’s share about 65 percent down. Unlike other business partners of Apple, Imagination Technologies has decided to go public with this issue not concerning the vows of corporate silence Apple has observed. Obviously, this would mean doomsday for the British firm which majority of its essential products are intended for Apple devices. The American tech giant has not yet responded or commented on this matter.