Imagination Technologies: New Licence Agreement with Intel Corporation

May 17, 2005 -- Imagination Technologies Group plc, (“Imagination Technologies”), a leader in system-on-chip intellectual property (SoC IP), announces that Intel Corporation (“Intel”) has licensed both a member of its new generation, fully programmable PowerVR graphics and video processing IP family, codenamed Eurasia, and a next generation multi-standard video codec (video encode and decoder) IP core.

Intel has previously licensed PowerVR MBX family graphics and associated video and display cores.

Under the terms of its licensing arrangements, Imagination Technologies receives licence fees and royalty revenues on SoCs incorporating Imagination Technologies’ IP shipped by partners.

This new licence agreement has been concluded during the current financial year.

About PowerVR’s Eurasia Technologies

Imagination Technologies’ PowerVR division has a new highly scalable and programmable graphics and video IP family, codenamed Eurasia, under development. This family is based on Imagination Technologies’ new advanced shading technology, offering state-of-the-art features for multimedia devices, and sets the technology benchmark significantly ahead of current offerings. The scalability of the Eurasia family supports a broad range of applications including those in mobile, consumer and computing segments. These cores will co-exist alongside the PowerVR MBX family, members of which are currently being integrated in a variety of devices including mobile handhelds, car navigation and entertainment systems. Further details about the PowerVR Eurasia family will be announced as appropriate.