Apple’s chip deal turns rotten
APPLE has launched an attack on iPhone chip maker Imagination Technologies by opening a new office close to its headquarters.
The move is the latest twist in the saga involving the two firms, which have been locked in a war of words after Apple told Imagination it would no longer use its graphics chip technology in iPhones and iPads.
The Silicon Valley giant is reportedly renting a 2 090m2 office in the centre of St Albans to work on creating its own graphic chips – three months after announcing plans to wind down its relationship with the British tech firm.
The new base is just 13km down the road of Imagination’s headquarters in Kings Langley and has sparked fears the tech firm is looking to poach more staff. Apple has hired Imagination employees – including its former chief operating officer John Metcalfe – and advertises job postings for experts in graphics hardware in the region.
Imagination, once Britain’s most valuable tech company, put itself up for sale last month after seeing £500 million (R8.6 billion) wiped off its value in a day when it announced the termination of the contract. The company has been seeking a divorce payout from Apple.
Apple, on the other hand, has denied catching Imagination off guard, saying the company has known for years that it was winding down the relationship.