Update: According to CNBC, Apple says that while it did hold talks with the company, it doesn't plan to make an offer for Imagination Technologies.

Original story: Apple is reportedly in talks to acquire British chip maker Imagination Technologies, which makes the PowerVR graphics processors found in Apple's own custom chips, such as the A9 found in the iPhone 6s. The talks are reportedly in an advanced stage, and follow recent announcements that Imagination would be cutting jobs across the company.

From Ars Technica:

Apple is in "advanced talks" to acquire British chip design company Imagination Technologies, according to a source with knowledge of the discussions. When Ars sought comment, Imagination Technologies refused to deny any such planned takeover. Imagination Technologies is primarily known for its PowerVR line of GPUs, which Apple has used in its mobile A-series SoCs since the A4, which powered the iPhone 4 and 4th-gen iPod Touch.

While Apple already designs its custom A-series chips itself, the purchase of Imagination Technologies would allow it to do the same with those chips' graphics components. It would definitely be interesting to see what Apple could do by bring development of graphics technology in-house.