Key Takeaways
- The global EDA software market reached $15.4 billion in revenue in 2023, marking a 12.5% year-over-year growth driven by AI chip design demands.
- EDA market is projected to grow to $22.1 billion by 2028 at a CAGR of 11.8% from 2023-2028, fueled by 5nm and below process nodes.
- In 2022, the EDA market in Asia-Pacific accounted for 45% of global revenue, totaling approximately $6.2 billion.
- Synopsys reported $5.84 billion in total revenue for fiscal 2023, with EDA segment at $4.9 billion.
- Cadence Design Systems achieved $4.09 billion revenue in 2023, a 15% increase YoY.
- Siemens EDA (formerly Mentor) generated €2.1 billion in EDA revenue in 2023.
- Adoption of AI/ML in EDA tools increased by 40% in 2023 surveys.
- 65% of new chip designs in 2023 used machine learning-based place-and-route.
- High-Level Synthesis (HLS) tools saw 55% usage growth in SoC designs in 2023.
- Asia-Pacific EDA market grew 14% YoY to $7.1 billion in 2023.
- US EDA revenue dominated with $5.2 billion in 2023, 34% global share.
- China EDA market expanded to $1.8 billion in 2023, up 25% amid localization.
- EDA workforce in US totals 45,000 professionals in 2023.
- Global EDA engineers shortage estimated at 20,000 in 2023.
- Synopsys employs 21,000 staff, 60% in EDA engineering roles in 2023.
The global EDA software market grew significantly in 2023, driven by AI chips and advanced manufacturing.
Company Performance
- Synopsys reported $5.84 billion in total revenue for fiscal 2023, with EDA segment at $4.9 billion.
- Cadence Design Systems achieved $4.09 billion revenue in 2023, a 15% increase YoY.
- Siemens EDA (formerly Mentor) generated €2.1 billion in EDA revenue in 2023.
- Synopsys holds 32% market share in EDA tools as of 2023.
- Cadence captured 28% of global EDA market share in 2023.
- Ansys Inc. EDA-related revenue was $350 million in 2023, up 12%.
- Keysight Technologies reported $720 million from EDA software in fiscal 2023.
- Synopsys Fusion Compiler tool suite accounted for 25% of company EDA revenue in 2023.
- Cadence's Palladium emulation platform generated $450 million in 2023 sales.
- Siemens Xcelerator platform EDA bookings reached €500 million in 2023.
- 70% of Synopsys revenue in 2023 came from top 20 semiconductor customers.
- Cadence's R&D expenditure was $1.1 billion in 2023, 27% of revenue.
- Synopsys net income rose to $1.02 billion in fiscal 2023.
- Aldec's revenue from FPGA EDA tools grew 18% to $25 million in 2023.
- Porch Group Media EDA niche revenue hit $10 million in 2023.
- Synopsys Q4 2023 revenue: $1.59 billion, up 16%.
- Cadence Q4 2023 revenue: $1.07 billion, 16% growth.
- Siemens EDA revenue growth 10% to €2.3 billion in FY2023.
- Ansys 2023 total revenue $2.23 billion, EDA portion 16%.
- Keysight EDA software revenue up 8% to $745 million FY2023.
- Synopsys market share in verification IP: 40% in 2023.
- Cadence tensile simulator usage in 55% top designs 2023.
- Synopsys FY2023 EPS $5.72, up 20%.
- Cadence customer retention 98% in 2023.
Company Performance Interpretation
Investments & Funding
- Synopsys R&D investment hit $1.8 billion in fiscal 2023.
- Cadence acquired BETA CAE for $1 billion in 2023 to boost EDA.
- VC funding in EDA startups totaled $2.5 billion in 2023.
- Siemens invested €300 million in EDA R&D in 2023.
- Ansys acquired Rock Solid Image for $50 million in 2023.
- EDA M&A deals reached 25 transactions worth $4.2 billion in 2023.
- Government funding for EDA in US via CHIPS Act: $1 billion allocated in 2023.
- China invested $800 million in domestic EDA firms in 2023.
- Synopsys share price rose 45% in 2023 to $500.
- Cadence stock market cap hit $80 billion end of 2023.
Investments & Funding Interpretation
Market Size & Growth
- The global EDA software market reached $15.4 billion in revenue in 2023, marking a 12.5% year-over-year growth driven by AI chip design demands.
- EDA market is projected to grow to $22.1 billion by 2028 at a CAGR of 11.8% from 2023-2028, fueled by 5nm and below process nodes.
- In 2022, the EDA market in Asia-Pacific accounted for 45% of global revenue, totaling approximately $6.2 billion.
- North American EDA market size was valued at $4.8 billion in 2023, representing 31% of the global share.
- The verification segment of EDA market generated $5.1 billion in 2023, comprising 33% of total EDA revenue.
- EDA IP market subset grew to $3.2 billion in 2023, with a 14% YoY increase due to SoC complexity.
- Global EDA services market was $2.9 billion in 2023, expected to reach $4.5 billion by 2030 at 6.5% CAGR.
- Cloud-based EDA market expanded to $1.8 billion in 2023, growing 25% YoY from remote design trends.
- EDA market for automotive applications hit $1.2 billion in 2023, driven by ADAS and EV designs.
- Physical design EDA tools revenue reached $3.4 billion in 2023, up 10% from prior year.
- Global EDA market size was $14.2 billion in 2022, growing 11% to 2023.
- Simulation and analysis EDA segment: $4.2 billion in 2023.
- PCB EDA tools market: $2.1 billion globally in 2023.
- US EDA market $5.5B projected 2024 from 2023 base.
- IP cores market in EDA: $3.8B in 2023.
Market Size & Growth Interpretation
Regional Insights
- Asia-Pacific EDA market grew 14% YoY to $7.1 billion in 2023.
- US EDA revenue dominated with $5.2 billion in 2023, 34% global share.
- China EDA market expanded to $1.8 billion in 2023, up 25% amid localization.
- Europe EDA sector valued at $2.3 billion in 2023, led by Siemens.
- Taiwan accounted for 28% of global EDA consumption in 2023.
- India's EDA market grew 18% to $450 million in 2023.
- Japan EDA tools market steady at $1.1 billion in 2023.
- South Korea EDA spend reached $900 million in 2023 for memory chips.
- Middle East EDA market emerged at $150 million in 2023.
- Latin America EDA adoption grew 12% to $200 million in 2023.
- Taiwan EDA market share 25% global in 2023.
- China's domestic EDA penetration reached 15% in 2023.
- Europe EDA R&D spend: €1.2 billion in 2023.
- South Korea Samsung EDA spend $500M in 2023.
- Israel EDA startups revenue $300M collective 2023.
Regional Insights Interpretation
Technological Advancements
- Adoption of AI/ML in EDA tools increased by 40% in 2023 surveys.
- 65% of new chip designs in 2023 used machine learning-based place-and-route.
- High-Level Synthesis (HLS) tools saw 55% usage growth in SoC designs in 2023.
- Emulation and prototyping market for EDA grew 20% to $1.1 billion in 2023.
- 3D-IC design tools adoption reached 35% among top fabs in 2023.
- Shift-left verification using formal methods up 28% in 2023.
- Cloud EDA capacity utilization hit 75% average in 2023 hyperscale deployments.
- Quantum computing EDA tools prototyped by 15 vendors in 2023.
- Automotive functional safety (ISO 26262) EDA compliance tools used in 80% designs.
- RISC-V IP integration in EDA flows rose 50% in 2023.
- Advanced packaging (chiplet) design tools revenue up 30% in 2023.
- Power integrity analysis tools saw 22% performance gains via AI in 2023.
- 45% of EDA revenue from AI-accelerated tools in 2023.
- Formal verification tools market: $800 million, 18% growth 2023.
- Chiplet design flows adopted by 40% of new projects in 2023.
- EUV lithography EDA optimization tools up 30% usage 2023.
- Digital twin integration in EDA rose 25% in 2023.
- Open-source EDA tools downloads surged 60% in 2023.
- 5G/6G RF EDA design kits proliferated 35% in 2023.
- Neuromorphic computing EDA prototypes: 20 in 2023.
Technological Advancements Interpretation
Workforce & Education
- EDA workforce in US totals 45,000 professionals in 2023.
- Global EDA engineers shortage estimated at 20,000 in 2023.
- Synopsys employs 21,000 staff, 60% in EDA engineering roles in 2023.
- Cadence has 11,300 employees, with 70% R&D focus in 2023.
- Average EDA engineer salary in Silicon Valley: $180,000 in 2023.
- 40% growth in EDA PhD graduates from top universities in 2023.
- India supplies 25% of global EDA talent pool in 2023.
- Women in EDA roles increased to 22% globally in 2023.
- EDA training programs enrolled 50,000 students worldwide in 2023.
- Remote work in EDA firms rose to 35% post-2023 surveys.
- Global EDA PhDs awarded 2,500 in 2023.
- EDA job openings up 15% to 10,000 in 2023.
- Cadence R&D staff: 7,500 in 2023.
- Average EDA salary India: $25,000 USD equivalent 2023.
- EDA certification holders: 15,000 worldwide 2023.
Workforce & Education Interpretation
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