Skip to main content

Report: Apple in talks to acquire Imagination Technologies, likely to start developing its own mobile GPUs [Updated]

apple-a9x

Update: In a statement to CNBC, Apple has confirmed it is not planning to make an offer for Imagination Technologies. It did however hold some talks with the company about undisclosed topics.

ArsTechnica is reporting that Apple is in ‘advanced talks’ to acquire Imagination Technologies, makes of the PowerVR mobile GPU designs Apple licenses for its A9 and A9X SoCs. The company declined comment about any such acquisition of course. Apple began using Imagination Technologies GPUs since the Apple A4 chip. Rumors have been bubbling in recent years that Apple will eventually start designing its own mobile GPUs, in the same way it designs custom CPU silicon today. An acquisition of Imagination Technologies would be a clear signal the company is moving in that direction.

Although Apple’s A-series feature customized or tweaked PowerVR GPUs already, they are mostly based off the off-the-shelf designs. A buyout would mean Apple could take mobile GPU design fully in-house. Remember that Apple’s custom processor designed all started from the acquisition of PA Semi in 2008.

If true, the acquisition would be one of the largest Apple has ever made as a company: Imagination Technologies currently has a market capitalization of about 850 million dollars. Naturally, the market value has shot up almost 20% following the report of potential acquisition.

Screen Shot 2016-03-22 at 11.28.32

Naturally, Apple loves to control the important technologies and the customer experience in every way possible. Making its own custom GPUs is a logical step along that mission. Apple’s CPU designs have been widely praised for excellence, with Apple easily beating everyone else to 64-bit architectures with the iPhone 5s. The most recent releases, the A9 and A9X (used in the just-announced iPhone SE and iPad Pro) are also blazing fast easily beating the competition on single-core tasks.

FTC: We use income earning auto affiliate links. More.

You’re reading 9to5Mac — experts who break news about Apple and its surrounding ecosystem, day after day. Be sure to check out our homepage for all the latest news, and follow 9to5Mac on Twitter, Facebook, and LinkedIn to stay in the loop. Don’t know where to start? Check out our exclusive stories, reviews, how-tos, and subscribe to our YouTube channel

Comments

  1. 89p13 - 8 years ago

    I wonder if along with all the other benefits to Apple buying this company – if it would help with repatriating some of their off shore $$$$ into the US?

    • twelve01 - 8 years ago

      No, but they’ll be able to use oversees cash (after converting to British Pound) for the purchase. That’s money that would be taxed upon repatriation.

    • Franco (@frngr) - 8 years ago

      Don’t think so, IT is a british company.

  2. viciosodiego - 8 years ago

    those guys have talent in the GPU sector.
    look at the iPad pro.

  3. tellorin - 8 years ago

    Although it pails in comparison to the 3 billion they paid for Beats Music

  4. archie4oz (@archie4oz) - 8 years ago

    ” Apple began using Imagination Technologies GPUs since the Apple A4 chip.”

    Not sure if this was specifically calling out Apple itself as licensing the GPUs or just Apple using them in their devices (with ASICS built by 3rd parties; e.g. Samsung), but ImgTec GPUs have been in all of Apple’s iPhones (not just those from the A4 and later).

  5. Abedoss - 8 years ago

    Apple already have a 9.5% stake in ImgTech, and 14% for Intel, I think the talks could be about considering maintaining Apple’s rights in future products.

Author

Avatar for Benjamin Mayo Benjamin Mayo

Benjamin develops iOS apps professionally and covers Apple news and rumors for 9to5Mac. Listen to Benjamin, every week, on the Happy Hour podcast. Check out his personal blog. Message Benjamin over email or Twitter.