London, UK: Imagination Technologies, a leader in system-on-chip intellectual property (SoC IP), & SEGA CORPORATION today announce a licensing agreement between the companies for the development of next generation arcade systems based on new high-end PowerVR graphics technology. SEGA, the leader in the arcade market, will use a new high-performance PowerVR graphics processor as the basis of its future arcade systems. SEGA may also supply system boards based on this processor to other leading amusement game companies.

Says Hiroshi Yagi, Corporate Officer in AM Product R&D Division, SEGA CORPORATION: "The inherent benefits of PowerVR, which are well known to SEGA, will be utilized to deliver interactive experiences that will amaze gamers worldwide & continue SEGA's legacy of innovation & excellence. SEGA's new arcade platform, which will be at the forefront of Sega's current board strategy across all video game genres, will deliver cutting edge gaming, exceeding any other videogame system in the world."