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Date: 15-01-14

Innovation is the fuel for profit and so is the EDA for electronics

Irrespective of the global economics ups and downs, the industry which supports R&D will only grow with slight change in growth figures. Innovation is the fuel for profit, that fuel is now more available in the form of software. So for any innovation driven company, software is one type of fuel. This is more true for electronics and semiconductor design companies who depend upon the advanced EDA tools to develop latest VLSI and electronics products. Read the below full release from EDA Consortium on the EDA industry's latest financial performance:

The EDA Consortium (EDAC) Market Statistics Service (MSS) has announced that the Electronic Design Automation (EDA) industry revenue increased 6.8 percent for Q3 2013 to $1,729.3 million, compared to $1619.9 million in Q3 2012. Sequential EDA revenue for Q3 2013 increased 4.6 percent compared to Q2 2013, while the four-­-quarters moving average, which compares the most recent four quarters to the prior four quarters, increased by 5.8 percent. The total revenue for the most recent four quarters (Q4 2012 through Q3 2013) was $6,830.3 million.

“EDA industry revenue realized continued growth in Q3 2013, with double-­-digit increases in IC physical design and services,” said Walden C. Rhines, board sponsor for the EDAC MSS and chairman and CEO of Mentor Graphics. “Geographically, the Asia-­-Pacific region again reported double digit growth, with significant growth in the Americas and Europe/Middle East/Africa regions.”

Companies that were tracked employed 29,967 professionals in Q3 2013, an increase of 3.8 percent compared to the 28,877 people employed in Q3 2012, and up 2.3 percent compared to Q2 2013.

The complete MSS report, containing detailed revenue information broken out by both categories and geographic regions, is available via subscription from the EDA Consortium.

Revenue by Product Category
The largest category, Computer Aided Engineering (CAE), generated revenue of $643.5 million in Q3 2013, which represents a 1.7 percent increase compared to Q3 2012.

The four-­-quarters moving average for CAE increased 3.2 percent. IC Physical Design & Verification revenue increased to $362.9 million in Q3 2013, an 11.1 percent increase compared to Q3 2012.

The four-­-quarters moving average increased 3.0 percent. Printed Circuit Board and Multi-­-Chip Module (PCB & MCM) revenue of $152.5 million represents a decrease of 0.3 percent compared to Q3 2012.

The four-­-quarters moving average for PCB & MCM increased 7.6 percent. Semiconductor Intellectual Property (SIP) revenue totaled $476.9 million in Q3 2013, a 12.7 percent increase compared to Q3 2012.

The four-­-quarters moving average increased 10.8 percent. Services revenue was $93.5 million in Q3 2013, an increase of 10.4 percent compared to Q3 2012.

The four-­- quarters moving average increased 8.7 percent.

Revenue by Region

The Americas, EDA’s largest region, purchased $770.7 million of EDA products and services in Q3 2013, an increase of 7.7 percent compared to Q3 2012.

The four-­-quarters moving average for the Americas increased 5.1 percent.

Revenue in Europe, the Middle East, and Africa (EMEA) was up 6.7 percent in Q3 2013 compared to Q3 2012 on revenues of $285.5 million.

The EMEA four-­-quarters moving average increased 6.8 percent.

Third quarter 2013 revenue from Japan decreased 8.2 percent to $223.8 million compared to Q3 2012.

The four-­- quarters moving average for Japan decreased 4.2 percent.

The Asia/Pacific (APAC) region revenue increased to $449.3 million in Q3 2013, an increase of 14.4 percent compared to the third quarter of 2012.

The four-­-quarters moving average increased 12.8 percent.

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