Graphics capability has become one of the most important elements in both PC and smart phone market. In view of greater consumers’ demand and existing gap that need to be bridged up, Apple Inc has again increased its current stake in Imagination Technologies, the famous PowerVR graphics designer in an attempt to boost up multimedia capabilities on its next generation product series.

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If you recall, Apple Inc has leveraged on Imagination Technologies’ famous PowerVR graphics solution in both its iPod touch and iPhone mobile devices. Even the recent iPhone 3G S is believed to be utilizing PowerVR SGX535 that has further boost up its graphics decode power while able to stay in thermally efficient without impacting much on its battery life. The PowerVR SGX535 is claimed to be able to provide better shader performance while able to scale up the image processing capability. With the current acquisition, Apple Inc owns a total of 9.5 percent, which almost tripled since its first investment with only 3.6 percent last year.

Some analysts speculate that the action is in direct response to Intel Inc which has just increased its stake in the UK based graphics company for second time to 14 percent. Similarly, Intel is one of the licensees under Imagination Technologies for its PowerVR core that has been integrated into its previously released Atom platform solutions such as Pine Trail as well as upcoming multimedia centric platform solutions.