RNS Number:6065H
Imagination Technologies Group PLC
18 February 2003





                       IMAGINATION TECHNOLOGIES GROUP PLC


         HITACHI AND IMAGINATION TECHNOLOGIES EXTEND LICENSING AGREEMENT
             Hitachi To Integrate PowerVR(R) MBX Lite and SH-Mobile
                 For Mobile Phone 3D Graphic Applications



LONDON, UK - 18 February, 2003 - Imagination Technologies (LSE:IMG), a leader in
system-on-chip (SoC) Intellectual Property (IP), today announced that it has
signed a new licensing agreement with Hitachi, Ltd. (TSE:6501, NYSE:HIT) one of
the world's leading global electronics companies, which enables Hitachi to
integrate Imagination's PowerVR MBX Lite graphics core alongside Hitachi's
SH-Mobile (SuperH Mobile Application Processor) series targeting advanced mobile
handsets.



The SH-Mobile processor is a high-performance 32-bit application processor core
that allows high speed processing of multimedia applications for 2.5G and 3G
mobile phone systems. PowerVR MBX Lite is a very compact and efficient 2D and 3D
graphics-processing core for the handheld market, which enables the migration of
modern content to mainstream mobile devices while minimising power-consumption
and memory requirements.



Imagination and Hitachi already have an existing strategic multi-use licensing
agreement for the integration of PowerVR graphics and video cores alongside
Hitachi's SuperH family of RISC microprocessors to target a broad range of
consumer entertainment and information devices.  This relationship has already
resulted in content and application developers being highly familiar with the
SuperH and PowerVR cores.



Under the terms of the new agreement Imagination Technologies receives license
income and will receive royalty revenues when Hitachi ships products
incorporating the PowerVR MBX Lite core.



                                                                18 February 2003



ENQUIRIES:


Imagination Technologies Group plc                 Tel: 01923 260 511
Hossein Yassaie

College Hill                                       Tel: 020 7457 2020
Matthew Smallwood




Editor's Notes

About Advanced Mobile Handsets

Next-generation mobile phone systems are offering higher multi-functionality
with a variety of installed applications, such as games, advanced user
interfaces and video clips.  By using both the SH-Mobile processor and the
PowerVR MBX-Lite graphics core, Hitachi can develop high speed and low power
consumption application processors with embedded Graphic Processor Unit (GPU)
technology suitable for advanced mobile graphics applications.



The SH-Mobile works alongside the baseband LSI (Large Scale Integration) of the
mobile phone and handles dedicated processing of multimedia applications such as
audio and moving pictures.  Up until now, application processing has been
executed on the baseband LSI processor, but by using SH-Mobile, it is possible
to achieve high speed processing of applications without increasing processing
load on the baseband LSI.  This allows applications to be developed
independently of the communication processing of the baseband LSI, enabling
multimedia applications to be developed and introduced to the market much
quicker.



About PowerVR MBX Lite

PowerVR MBX Lite's redundancy elimination results in very low power consumption
and minimises external memory bandwidth, critical in SoC systems, and enabling
the use of a single memory interface for both CPU and graphics.  The scalability
of PowerVR's 3D technology, its redundancy elimination, availability of standard
graphics APIs on standard operating systems and its extensive content library
make it an ideal technology to target this market alongside SH-Mobile.



About Hitachi

Hitachi, Ltd., headquartered in Tokyo, Japan, is a leading global electronics
company, with approximately 320,000 employees worldwide.  Fiscal 2001(ended
March 31, 2002) consolidated sales totalled 7,994 billion yen ($60.1 billion).
The company offers a wide range of systems, products and services in market
sectors, including information systems, electronic devices, power and industrial
systems, consumer products, materials and financial services.  See: http://
global.hitachi.com.



About Imagination Technologies

Imagination Technologies Group plc is an international IP licensing company that
develops, licenses and supplies market-leading graphics/video cores, real-time
DSP-enabled multi-threaded processors, communication and broadcast technologies
for the consumer entertainment and PC markets. It supplies both licensable IP
(Intellectual Property) and related advanced development tools to leading
semiconductor and consumer electronics companies worldwide. Imagination
Technologies Group plc has its corporate headquarters in the United Kingdom and
is publicly traded on the London Stock Exchange (FTSE:IMG). See: www.imgtec.com.






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