Shares in the UK chip designer Imagination Technologies have slumped nearly 70% after it said Apple, its largest customer, would stop using its graphics technology in the iPhone and other new products.
This is a major blow to the British company, which designs the graphics processors used in smartphones and other electronic devices and relies on Apple for half its revenues. It warned that the US tech firm risked infringing its intellectual property rights.
Apple has used Imaginations chip technology under a licensing agreement for many years and is one of its biggest shareholders, with an 8.2% stake. It came close to buying the Hertfordshire-based firm a year ago.
Imaginations technology has formed the basis of graphics processor u…