IMAGINATION TECHNOLOGIES ANNOUNCES NEW CUSTOMERS AND DEVELOPMENTS FOR ATEI 2001

Sega, Gaelco, Jesler and Bell Fruit Debut PowerVR Based Product At Arcade Show

23rd January 2001

Imagination Technologies has announced that several customers will be showing arcade and gaming systems based on technologies from its PowerVR Technologies and VideoLogic Systems divisions at the ATEI 2001 show in at Earls Court, London from 23rd - 25th January.

Sega is showing cutting edge arcade games running on the new NAOMI2 platform, which incorporates multiple PowerVR processors. Leading European arcade developer Gaelco is using PowerVR graphics technology in its latest arcade products, which debut at the show. Bell-Fruit Games, together with GamesNetwork, will be showing a multi-functional, networked gaming system based on PowerVR boards from Imagine Graphics. Canadian developer Jesler will be showing the Electraride motion-based simulator, which utilises graphics and control technologies supplied by VideoLogic Systems.

SEGA - Stand 1030
NAOMI2, the arcade system developed by Sega and based on PowerVR graphics technology, sets a new standard for arcade gaming and will reinforce the dominance of the NAOMI arcade platform which has made PowerVR an arcade industry standard.

NAOMI2 is the next generation graphics architecture for arcade systems incorporating technologies designed by PowerVR Technologies as part of the continuing partnership between Sega, NEC Corporation, and Imagination Technologies. Sega has been using the system for the development of the next generation of arcade titles, and some of these outstanding games will be demonstrated at ATEI 2001 including the highly anticipated Wild Riders, and Club Kart. Other new NAOMI titles on show will include the acclaimed Confidential Mission and a game based on the popular WWF franchise.

Says Paul Williams, sales director, Sega Amusements Europe Ltd: "The power of the NAOMI2 board is phenomenal and we are all really excited about some of the new games that we have seen in development based on this new platform. The amount of detail and expansion of capability that can be gained from NAOMI2 is mind blowing."

Gaelco - Stand 630
Leading European arcade developer Gaelco is using PowerVR graphics technology in its latest arcade products. Gaelco's new arcade games for 2001, including Smashing Drive which debuts at ATEI, utilize cutting edge arcade boards based around two Hitachi SH4 CPUs and a dedicated PowerVR Series2 graphics processor from NEC, designed by PowerVR Technologies. As well as supplying unique graphics processing technology PowerVR Technologies provided Gaelco with a dedicated HCL (Hardware Control Library) programming environment, enabling the design of arcade games that maximise the outstanding graphics capabilities of PowerVR Series2.

Smashing Drive is a high-impact driving game themed on a taxi drive through New York City and is expected to be available in Europe in March 2001. Other games from Gaelco based on PowerVR technology, including the Football Power sports game with a revolutionary realistic football interface, will follow. Gaelco games are distributed in the USA by Namco.

Bell-Fruit Games - Stand 1110
Bell-Fruit Games, together with GamesNetwork have been working together with Imagine Graphics and Imagination Technologies' VideoLogic Systems division to provide a unique solution to displaying 16:9 widescreen Pixel Perfect graphics for a new range of video based gaming products with cutting edge 3D PowerVR Graphics.

Bell-Fruit Games, Kunick plc and Gauselmann Ag are leading players in the design and development of games and amusement machine products, supplying both home and international markets.

Games Network, a joint venture company consisting of Kunick plc, Bell-Fruit Games and the JPM Group of companies leads the market in the provision of networked games.

There are now some 3000 games sited with GamesNetwork providing download solutions for new games and software management including the running of National and local tournament games

Jesler - Stand 720 (Brent Leisure)
VideoLogic Systems has announced that it is supplying both PowerVR graphics and controller boards for the Electraride motion-based simulators produced by Jesler Enterprises Inc. The VideoLogic Neon 250 graphics board is a high performance combined 2D and 3D graphics solution ideal for arcade applications. The VideoLogic R-Cade Master is the only fully integrated, intelligent solution available for all arcade-interfacing needs. Electraride is a single seat, two-degrees of freedom, all-electric motion simulator, designed as a versatile, networkable platform to enhance the realism of the latest PC based games.

Electraride has been selling on the market for seven months with outstanding results. More games for the system and further enhancements are planned, enabling the networking of up to four units. The first game released is Ultimate Race Pro, developed by Kalisto Entertainment in France. Other content is in the works for the Electraride Platform. Jesler is headquartered in Ontario, Canada.

About PowerVR Technologies
PowerVR Technologies - a division of Imagination Technologies - develops and markets the unique PowerVR graphics/video technology. Existing partners licensing the technology include NEC and STMicroelectronics. PowerVR Technologies design wins have included Sega's latest video games console, Dreamcast, the Naomi arcade system, which is used in the majority of new arcade machines worldwide, and numerous PC add-in and OEM customers. More information is available on the PowerVR Technologies web site at www.powervr.com.

About VideoLogic Systems
VideoLogic Systems - a division of Imagination Technologies - produces a range of innovative and award winning products in the areas of 2D/3D graphics and sound acceleration, home audio systems, electronic music, DVD, digital entertainment, video-capture and video-conferencing. Key products include graphics accelerators based on PowerVR technology and the Sirocco range of hi-fi quality PC speakers. More information is available on the VideoLogic Systems web site at www.videologic.com.

About Imagination Technologies
Imagination Technologies Group plc is an international company that develops, licenses and supplies market-leading 2D/3D graphics, digital video, audio and speech technologies and products for consumer entertainment and PC Markets. The company has deployed and planned technologies for games consoles, PCs, arcade entertainment machines, digital set-top boxes, in car information/entertainment systems, and mobile devices. Since it was founded in 1985, the company has introduced, via licensing arrangements or directly, a succession of innovative technologies, silicon chips and add-in boards, which have played a major role in the development of multimedia and computer-based entertainment systems. Imagination Technologies Group plc has its corporate headquarters in the United Kingdom and is publicly traded on the London Stock Exchange (FTSE:IMG). More information is available on the Imagination Technologies web site at www.imgtec.com.