Imagination Technologies has entered in to a new licensing deal with Sony, allowing the Japanese elctrnoics major access to IP cores from Imagination's PowerVR SGX Series5XT graphics family.

Sony will use these IP cores for components including computers, mobile phones and home entertainment systems. Imagination will receive license fees and royalty revenues based on the shipments of semiconductor products by the company using its IP.

Imagination said while announcing results in June that it saw "very strong momentum" in its royalty revenue which stood at £41.3 million. The company counts ST-Ericcson, ST Microelectronics, Fujitsu, LG, NetLogic and SiS among its customers.

Imagination's shares rose 2 per cent on the news of the new deal with Sony.