Electronic Design Automation Software Industry Overview
The global electronic design automation software market size is anticipated to reach USD 22.21 billion by 2030, growing at a CAGR of 9.1% from 2022 to 2030, according to a new study by Grand View Research Inc. The industry witnessed a minor setback due to the pandemic as a result of shuttering of factories; over the forecast period the market is projected to witness healthy growth. Miniaturization of chips and devices is anticipated to create opportunities for the electronic design automation (EDA) software market. The software helps lower manual errors in chip and IC design thereby favoring growth.
The design of modern sophisticated processors to meet the ever-growing demand for consumer electronics has led to the rising popularity of FinFet architecture. This trend is anticipated to augment market growth over the coming years. As devices get more compact, the demand for miniature electronic components will gain traction over the next few years, subsequently creating opportunities for solutions that offer error-free chip & IC design capabilities. The need to eliminate design flaws while ensuring faster time to market is expected to create healthy demand for EDA software solutions over the forecast period.
EDA vendors often add an extra layer of authentication to their products as these tools are easily subject to copyright infringements, patents, and trademarks. This also helps vendors price their products higher under the authenticity tag. However, due to this the penetration of EDA solutions among small and medium-sized companies has not reached its full potential, and vendors can explore the space to ensure consistent revenue streams for the long term. There exist several open-source EDA tools that could pose a threat to well-established vendors in the space.
Electronic Design Automation Software Market Segmentation
Grand View Research has segmented the global electronic design automation software market report based on end-use and region:
Based on the End-use Insights, the market is segmented into Microprocessors & Controllers, Memory Management Unit (MMU), and Others.
- The demand for EDA software in the designing of microprocessors & controllers garnered the highest revenue share in 2021. Of the total USD 1.5 billion industry, EDA revenue from the said segment accounted for over 60%.
- The high market share is attributed to a healthy demand for home appliances, lighting systems, and medical devices, among others. Continuous improvements in consumer electronics due to applications of new features to the products almost every quarter keeps the semiconductor industry on its toes.
- The MMU segment is estimated to grow at a CAGR exceeding 6% from 2022 to 2030. MMU is essentially a hardware component that plays a vital role in device memory management. Therefore, increased demand for processing speed requirements is creating a favorable scenario for segment growth.
Electronic Design Automation Software Regional Outlook
- North America
- Asia Pacific
- Latin America
- Middle East & Africa (MEA)
Key Companies Profile
Mergers & acquisitions have been a go-to strategy for most vendors in a bid to maintain a competitive position. Recent evidence of this was when Synopsis Inc. in the year 2020, acquired Qualtera to expand its product offerings specific to the semiconductor industry. In addition to M&As, innovation, and R&D on new features to the existing solutions have been a focus area for most companies to strengthen their foothold. For instance, Cadence Design Systems, Inc. announced the addition of an extensive parallelism algorithm to its existing Cadence Voltus IC power integrity solution. The Cadence Voltus IC power integrity solution helps in ensuring a high chip performance. As such, the addition of an extensive parallelism algorithm to the Cadence Voltus IC power integrity solution would allow automotive chip manufacturers to overcome the time-to-market challenges.
Some prominent players in the global electronic design automation software market include:
- Cadence Design Systems, Inc.
- Synopsys, Inc.
- Mentor, a Siemens Business
- Silvaco, Inc.
- Vennsa Technologies
- ANSYS, Inc.
- Altium LLC
Order a free sample PDF of the Electronic Design Automation Software Market Intelligence Study, published by Grand View Research.
About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research Helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.
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