IMAGINATION TECHNOLOGIES AND UBC MEDIA GROUP COOPERATE TO DELIVER INSTANT MUSIC PURCHASE SOLUTION

KINGS LANGLEY, UK, July 11, 2007 -- Imagination Technologies ("Imagination") and UBC Media Group ("UBC") announce that they have agreed to work together to create a service which will allow listeners to purchase music directly from DAB digital radios.

This service combines Imagination's new DAB and Internet digital radio platform with UBC's 'Cliq' instant music purchase technology, providing digital radio users with a "buy now" facility while listening to selected DAB radio stations. The service will capitalise on radio's acknowledged ability to encourage music purchase.

Imagination Technologies will bring devices which support the Cliq service to market through its PURE Digital division, as well as providing part of the technology infrastructure on which the service will run.

The exact commercial terms remain confidential, however UBC and Imagination will share revenues on music purchased via digital radio devices that are part of this co-operation and support the service.

More details on this exciting new service and launch schedules will be announced at a later date.

Hossein Yassaie, CEO, Imagination Technologies, says: "This co-operation will allow both PURE Digital and other major brands that use Imagination Technologies' digital radio platform to take digital music download to the next level. We are delighted to be working together with UBC on this exciting project."

Simon Cole, chief executive, UBC, says: "Imagination Technologies has been a major driver in the rapid rise of digital radio sales through its innovation in silicon products and investment in its PURE radio business. I am pleased that Imagination shares our vision of a fully interactive radio business and am confident that it will help us and the radio industry drive new interactive revenues in the same way it has driven the existing digital radio market."

Paul Smith, GM, PURE Digital, says: "Digital music download will be an important part of a package of services which will differentiate PURE's future combined DAB and Internet radio products, and provide substantial added value to our customers and the radio industry."

Editor's Notes

Imagination Technologies develops and licenses innovative silicon and software intellectual property (IP) for system-on-chip (SoC) devices targeting multimedia and communication applications. The company offers an expanding range of complementary IP cores, licensed by many of the world's leading silicon device suppliers including Intel, Renesas, Samsung, Sharp and TI. Imagination Technologies develops and licenses intellectual property (IP) for today's multimedia and communication devices and is the market-leading supplier of digital radio technologies. Its PURE radio brand is the UK's number one overall radio supplier and has a market share of more than 20%, and Imagination Technologies' IP is also in around 70% of the total digital radio installed base.

UBC Media is the UK's largest independent producer of radio content, serving the commercial sector as well as the BBC with radio programming and production services. It also has an Interactive arm which is the leading supplier of interactive technology to DAB Digital Radio broadcasters in the UK. UBC is a specialist in digital broadcast technology and services, its digital data software is used by 40% of commercial radio stations in the UK. In the last 12 months, UBC has invested in the creation of a service, branded today as 'Cliq', which allows stations to transmit an encrypted track listing containing purchase information for the music they are playing. The service has the backing of major UK radio groups and record companies.

About Imagination Technologies

Imagination Technologies Group plc " a leader in SoC IP " develops, licenses and supplies market-leading graphics, video and display cores, real-time multi-threaded DSP/RISC processors and communication and broadcast technologies for the mobile, consumer, automotive and PC markets. It supplies licensable IP (Intellectual Property) supported by advanced development tools to leading semiconductor and consumer electronics companies worldwide. Imagination Technologies Group plc has its corporate headquarters in the United Kingdom, sales offices world-wide, and R&D in India and UK, and is publicly traded on the London Stock Exchange (FTSE:IMG). See: www.imgtec.com.

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