EDA Sales Strong Again

Overall increase 7.5% with strength in most sectors; Americas, Asia-Pacific growth in double digits; Japan flat; Europe slumps.

popularity

EDA and IP sales were robust again in Q1, up 7.5% to $1.877 billion compared with $1.746 billion in the same period in 2014, according to the EDA Consortium.

On the upside, IP revenue rose 19.3% to $618.1 million; services revenue increased 6.8% to $104.4 million; and PCB and multi-chip module revenue increased 1.1% to $161.5 million.

On the downside, CAE—the largest single category—slid 0.8% to $633.7 million, while PCB and multi-chip module revenue IC physical design and verification was up 8.3% year over year.

“These are very good numbers,” said Wally Rhines, board sponsor for EDAC’s market statistics service and chairman and CEO of Mentor Graphics. He cautioned, however, that the IP growth numbers may be misleading because as companies acquire IP vendors they begin reporting revenue immediately in that category. Prior to acquisition, some of the IP vendors had not participated in the EDA reporting.

“There are other things that are not so obvious, too,” he said. “CAE is essentially flat, but within that sector there were pockets of strong growth. RTL simulation is up 20%, analog/mixed signal is up 16% and design for test is up 22%.”

Screen Shot 2015-07-06 at 8.34.34 PM

In addition, EDA employment was up 5% to 32,217, up from 30,440 in Q1 2014.

On a regional basis, the Americas bought $853.2 million worth of EDA products and services in Q1, an increase of 12.2% compared with the same period in 2014. In Europe, the Middle East and Africa, sales decreased 6.2% to $278.3 million. Japan decreased 0.2% to $209.3 million, which was the lowest drop reported in years. And Asia/Pacific increased 12% to $536.2 million.

Screen Shot 2015-07-06 at 8.35.24 PM



Leave a Reply


(Note: This name will be displayed publicly)