Imagination Tech Shares Plunge After Apple Rejects Chip Deal
- Apple is a major source of revenue for the U.K. tech company
- Imagination, Apple in talks regarding future contract
Imagination Technologies Group Plc shares plunged as much as 69 percent after the U.K. chip designer said Apple Inc. will stop using its intellectual property in new products, setting the stage for a clash with its biggest customer.
The iPhone maker has informed Imagination Technologies that it will cease using its graphics technology for new products, including phones, tablets, and watches, in 15 months to 2 years, according to a statement Monday.