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Peak mobile hits iPhone graphics chip outfit Imagination Technologies as it cuts a further 200 jobs

UK company reorganising
Peak mobile hits iPhone graphics chip outfit Imagination Technologies as it cuts a further 200 jobs
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With the growth of smartphone penetration stalled in the west, the suppliers of phone components are having to rethink their businesses to find future growth.

Indeed, at graphics chip outfit Imagination Technologies, the situation is even worse.

The UK company, which counts Apple and Intel among its investor, has announced it's laying off 200 staff.

That's on top of the 150 redundancies announced in February.

In total, company says this move will save it $18 million annually.

Focus on core business

The move comes as the FTSE-floated company (LON:IMG) predicts a loss for its FY15-16 financial year.

And in order to save a total $40 million by April 2017, it's cutting back on non-core business. For example, it's looking to sell of its consumer electronics brand Pure, which amongst other things, sells digital radios.

However, it says that key business such as its PowerVR technology, which provides the 3D graphics in all iPhones, as well as many other smartphones, will gain additional investment.

Indeed, it's currently hiring. 

yt