ESD Alliance Reports Strong Electronic Design Automation Industry Revenue Growth for Q2 2020

Industry Reports 12.6% Revenue Growth Overall; Most Categories Log Double-Digit Increases

MILPITAS, Calif. — October 5, 2020 — Electronic Design Automation (EDA) industry revenue increased 12.6% in Q2 2020 to $2,783.9 million, compared to $2,472.1 million in Q2 2019, with most categories logging double-digit increases, the Electronic System Design (ESD) Alliance Market Statistics Service (MSS) announced today. The four-quarter moving average, which compares the most recent four quarters to the prior four quarters, increased by 6.7%. The ESD Alliance is a SEMI Technology Community.

“The EDA industry reported a double-digit revenue increase for Q2 2020, compared to Q2 2019,” said Walden C. Rhines, Executive Sponsor, SEMI EDA Market Statistics Service. “Individually, Computer Aided Engineering (CAE), IC Physical Design and Verification, and Semiconductor IP (SIP) reported double-digit increases in Q2. Further, all geographic regions reported revenue increases.”

The companies tracked in the MSS report employed 46,579 people in Q2 2020, a 5% increase over the Q2 2019 headcount of 44,372 and up 1.4% compared to Q1 2020.

The quarterly MSS report containing detailed revenue information with category and geographic breakdowns is available to ESD Alliance members.

Revenue by Product Category in Q2 2020

• CAE revenue increased 16.1% to $922 million compared to Q2 2019. The four-quarter CAE moving average increased 7.1%.

• IC Physical Design and Verification revenue increased 16.8% to $584.1 million compared to Q2 2019. The four-quarter moving average for the category rose 4.8%.

• Printed Circuit Board and Multi-Chip Module (PCB and MCM) revenue decreased 0.3% to $243.5 million compared to Q2 2019. The four-quarter moving average for PCB and MCM increased 12.4%.

• SIP revenue increased 13.6% to $948.2 million compared to Q2 2019. The four-quarter SIP moving average grew 8.5%.

• Services revenue decreased 12.8% to $86.2 million compared to Q2 2019. The four-quarter Services moving average decreased 14.3%.

Revenue by Region in Q2 2020

• The Americas, the largest reporting region by revenue, purchased $1,155.6 million of EDA products and services in Q2 2020, an 11.4% increase compared to Q2 2019. The four-quarter moving average for the Americas increased 4.6%.

• Europe, the Middle East, and Africa (EMEA) revenue increased 5.2%, to $377.5 million compared to Q2 2019. The four-quarter moving average for EMEA grew 12.2%.

• Japan revenue increased 9% to $240.4 million compared to Q2 2019. The four-quarter moving average for Japan rose 0.8%.

• APAC revenue increased 18.1% to $1,010.3 million compared to Q2 2019. The four-quarter moving average for APAC increased 6.3%.

About the MSS Report

The ESD Alliance Market Statistics Service reports EDA, IP and services industry revenue data quarterly and is available to Alliance members. Both public and private companies contribute data to the report. Each quarterly report is published approximately three months after quarter close. MSS report data is segmented as follows:

• Revenue type (product licenses and maintenance, services, and SIP)

• Application (CAE, PCB/MCM Layout, and IC Physical Design & Verification)

• Region (the Americas, Europe Middle East and Africa, Japan, and Asia Pacific)

In addition, the report provides many subcategories of detail and lists total employment of the tracked companies.

About the Electronic System Design Alliance

The Electronic System Design (ESD) Alliance, a SEMI Technology Community, is the central voice to communicate and promote the value of the semiconductor design ecosystem as a vital component of the global electronics industry. As an international association of companies providing goods and services throughout the semiconductor design ecosystem, it is a forum to address technical, marketing, economic and legislative issues affecting the entire industry. For more information about the ESD Alliance, visit http://esd-alliance.org.

About SEMI

SEMI^® connects more than 2,400 member companies and 1.3 million professionals worldwide to advance the technology and business of electronics design and manufacturing. SEMI members are responsible for the innovations in materials, design, equipment, software, devices, and services that enable smarter, faster, more powerful, and more affordable electronic products. Electronic System Design Alliance (ESD Alliance), FlexTech, the Fab Owners Alliance (FOA) and the MEMS & Sensors Industry Group (MSIG) are SEMI Strategic Association Partners, defined communities within SEMI focused on specific technologies. Visit www.semi.org to learn more, contact one of our worldwide offices