Apple Raises Stake in Imagination Technologies to 9.5%

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jun 26, 2009.

  1. LeviG macrumors 65816

    Joined:
    Nov 6, 2006
    Location:
    Norfolk, UK
    #26
    iirc intel took a share due to the use of powervr as the basis of the gma500 which is used in netbooks like the sony vaio p and some new asus models.

    Apple is just upping their stake so they can keep a proportionate amount of control against intel
     
  2. deconstruct60 macrumors 604

    Joined:
    Mar 10, 2009
    #27
    The comments on this article:

    http://news.cnet.com/8301-13579_3-10273758-37.html?tag=newsEditorsPicksArea.0

    Point toward the fact that a previous significant stockholder in the company is in financial trouble and is dumping blocks to get cash.

    http://www.bloomberg.com/apps/news?pid=20601104&sid=aO.XZAxX2LZM

    http://www.reuters.com/article/companyNews/idUKB41574520090619?symbol=IMG.L

    The Saad Group dumped 5.2% of the company back into the market. ( or possibly into Intel and Apple's hands and it took couple of days for transfers to all clear. ) They could possibly uncork another 7% if things go badly for them for a long time. Intel and Apple are mostly soaking up the excess.

    Since, IMG licenses their IP to other folks for inclusion to their chips(for example: http://www.imgtec.com/News/Release/index.asp?NewsID=370) , they are like ARM. Apple needs IMG and ARM around independent so that can lleverage that IP. As long as multiple folks license it the R&D costs are spread out over multiple sources. If the suck it up and make it internal only then all of the R&D costs are borne internally.
     
  3. firewood macrumors 604

    Joined:
    Jul 29, 2003
    Location:
    Silicon Valley
    #28
    If those other customers are the key to the company being profitable, Apple certainly does not want to scare those customers away. How would you like to report at the next quarterly phone conference that a key investment had gone bankrupt and you had to take a big write-down (loss)?

    Furthermore, the key engineers there, working on the next gen IP, might just leave if they thought someone was ready to kill their business.
     

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