Press release

11 January 2001

Philips to License Imagination Technologies’ Multimedia Patents

Imagination Technologies announces that Scipher, its patent licensing partner, has granted a license to Philips Electronics for the use of Imagination Technologies’ multimedia tuner patents. The patents cover technology used by manufacturers of PC-TV tuner cards.

Through this license agreement, PC manufacturers who use Philips multimedia tuner products will have the use of the patented technology that enables TV to be watched on a PC.

The agreement with Philips follows on from successful licensing of the same patents last year to another tuner manufacturer.

Together these companies and their customers represent over two-thirds of the world market for PC/TV tuner technology – delivering royalty streams for Imagination Technologies and for Scipher over several years.

Imagination Technologies appointed QED, Scipher’s Intellectual Property arm, in 1999 to exploit its PC/TV patents. This relationship has since been extended with QED appointed to manage the licensing of global patents covering multimedia architectures relevant to PCs, set-top-boxes, game consoles and other multimedia systems. In addition to licensing the patents to companies who are already using these technologies, QED will also be granting licenses to companies who wish to incorporate them into new developments.

Says Hossein Yassaie, CEO of Imagination Technologies: “”;Scipher’s progress with the licensing of our PC/TV tuner patents has encouraged a growth of the partnership between the two companies. We have created a rich patent portfolio through innovation and it is a part of our strategy to license our intellectual property. It is our intention to continue to exploit, at the appropriate time, our patents as a further source of revenue for Imagination Technologies.””;

Dr Ken Gray, chairman of Scipher says: ”We are extremely pleased to have again successfully licensed Imagination’s PC-TV tuner patents – this time to Philips. We are delighted with the partnership we have with Imagination Technologies and look forward to further successes with the intellectual property that we are licensing on their behalf.”

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