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Imagination Technologies will continue to make GPUs after their biggest customer, Apple, said it would phase out their use of the products. In fact, Imagination will sell its MIPS CPU business and Ensigma communications business and focus solely on GPUs. Meanwhile, Imagination is seeking an agreement with Apple to put the company on better footing:
Just over a month ago, Imagination Technologies dropped the bombshell announcement that their largest customer, Apple, would be phasing out their use of Imagination's GPU IP in their SoC GPU designs. Specifically, Apple expects that they will no longer be using Imagination's IP for new products in 15 to 24 months. This put Imagination in a significant pinch, as Apple is a full half of the company's overall revenue and 69% of their GPU revenue. As a result, Imagination stands to lose the bulk of their GPU revenue starting two years down the line.
[...] Meanwhile in Imagination's bombshell of the month, alongside today's Apple update, the company is also announcing that they are going to be refocusing the company to focus entirely on the GPU business. To that end, the company is putting their remaining non-GPU businesses – the MIPS CPU business and the Ensigma communications business – on the market. Imagination is not listing an expected price for either business at this time – or if they have already lined up any suitors – but the company believes that given the improved fiscal performance of these two divisions, that they are in a good position to sell the two divisions.
MIPS and Ensigma have been two of Imagination's major efforts to diversify the company away from their original core business of GPU IP. MIPS was acquired by Imagination for $100M in 2012 – about 4.5 years ago – while Ensigma has been part of the company since the turn of the millennium. MIPS in particular has been a long-running architecture in the embedded space, and along with x86, is the other alternative CPU architecture supported by Google's Android OS. So the news that the engineering team and product portfolio behind the #2 architecture in mobile and embedded are being sold is a major development. MIPS and Ensigma are now joining Imagination's Pure business, which is also in the process of being sold off.
(Score: 1) by petecox on Friday May 05 2017, @07:00AM (4 children)
Microsoft should buy them?
Having lost the battle on phones, they prepare to re-birth Windows RT as Windows10 S on ARM tablets. But they're still reliant on Qualcomm to support whichever SoCs they please, which in the latest Windows Phone announcement led to a reduction in the number of supported models.
Developing for their own architecture would lessen reliance on third parties.
(Score: 1, Insightful) by Anonymous Coward on Friday May 05 2017, @07:38AM (3 children)
Having your own architecture is an expensive mess. Especially if it is a niche one. Microsoft will outsource the work and Qualcomm is as good as any partner as it pumps out ARM SoCs like candy.
(Score: 2) by TheRaven on Friday May 05 2017, @12:13PM (2 children)
sudo mod me up
(Score: 2) by Wootery on Saturday May 06 2017, @09:00AM (1 child)
If you don't mind me asking - is your involvement from a research perspective?
(Score: 2) by TheRaven on Monday May 08 2017, @09:42AM
sudo mod me up