Last month, reports went out that Apple will be developing its own GPU for future iPhones and iPads. Currently, the company is relying on Imagination for its GPU designs for its range of mobile products. Now, as a last effort to save itself from potential bankruptcy, Imagination has announced that the company is now for sale.
According to the company’s press release, a number of entities have expressed interests in acquiring Imagination in all its entirety. That is why the company has decided to go ahead and officially announce that it will be engaging in preliminary discussions to potential bidders.
To those unaware, Imagination is the designer of popular mobile GPU architecture PowerVR. The company maintains a number of IPs for various designs for various applications.
So far, Apple is Imagination’s biggest client. Some other clients include Mediatek, another ARM chip maker. Unfortunately, Apple has already announced that it will sever ties with Imagination in the next couple of years. During the transition, Apple will start developing its own GPU architectures that will then be used on future iOS devices
It is without a doubt that Apple will struggle coming up with new IPs for its own design. Majority of the more advanced designs at the moment are owned by Imagination. Furthermore, both companies are still trying to resolve disputes regarding other IPs that are in place with Apple’s current and previous iOS products.
For now, it is uncertain whether these issues will be resolved before the company finds a suitable buyer.
On the face of it, anyone who would think to buy Imagination will be in for quite a bargain. Although the company’s current cap, according to Anandtec, is at around $500 million, it is still far cheaper than the time before the Apple announcement. Hopefully, Imagination will be able to find a buyer for all its subsidiaries before it experiences more fluctuations on its stocks.
For more tech updates, be sure to check us out at TheBitbag.