Electronic System Design Industry Logs 12.1% Year-Over-Year Revenue Growth in Q1 2022, ESD Alliance Reports

MILPITAS, Calif. — July 11, 2022 — Electronic System Design (ESD) industry revenue increased 12.1% from $3,157.7 million in Q1 2021 to $3,540.5 million in Q1 2022, the ESD Alliance, a SEMI Technology Community, announced today in its latest Electronic Design Market Data (EDMD) report. The four-quarter moving average, which compares the most recent four quarters to the prior four, rose 14.5%.

“The industry continued to report double-digit year-over-year revenue growth in Q1 2022, with quarterly revenue reaching a record $3,540.5 million,” said Walden C. Rhines, Executive Sponsor of the SEMI Electronic Design Market Data report. “Product categories Computer-Aided Engineering, Printed Circuit Board and Multi-Chip Module, Semiconductor Intellectual Property, and Services recorded growth for the quarter. Geographically, the Americas, Japan, and Asia Pacific (APAC) all reported revenue growth.”

The companies tracked in the EDMD report employed 51,328 people globally in Q1 2022, a 4.7% increase over the Q1 2021 headcount of 49,024 and up 0.2% compared to Q4 2021.

The quarterly EDMD report contains detailed revenue information with the following category and geographic breakdowns.

Revenue by Product and Application Category – Year-Over-Year Change

• Computer-Aided Engineering (CAE) revenue increased 14.8% to $1,118.2 million. The four-quarter CAE moving average increased 12.5%.
• IC Physical Design and Verification revenue decreased 7.5% to $631.2 million. The four-quarter moving average for the category declined 2.5%.
• Printed Circuit Board and Multi-Chip Module (PCB and MCM) revenue increased 1.4% to $293.3 million. The four-quarter moving average for PCB and MCM rose 11.4%.
• Semiconductor Intellectual Property (SIP) revenue jumped 23.7% to $1,376.5 million. The four-quarter SIP moving average grew 26.5%.
• Services revenue increased 22.7% to $121.4 million. The four-quarter Services moving average increased 24.9%.

Revenue by Region – Year-Over-Year Change

• The Americas, the largest reporting region by revenue, procured $1,522.7 million of electronic system design products and services in Q1 2022, an 18.5% increase. The four-quarter moving average for the Americas rose 18%.
• Europe, Middle East, and Africa (EMEA) procured $434.1 million of electronic system design products and services in Q1 2022, a 3% decrease. The four-quarter moving average for EMEA grew 8.1%.
• Japan’s procurement of electronic system design products and services increased 1.8% to $263.5 million. The four-quarter moving average for Japan rose 2.5%.
• Asia Pacific (APAC) procured $1,320.3 million of electronic system design products and services in Q1 2022, a 13.2% increase. The four-quarter moving average for APAC increased 15.6%.

About the EDMD Report

The ESD Alliance Electronic Design Market Data (formerly the Market Statistics Service) report presents Electronic Design Automation (EDA), SIP and services industry revenue data quarterly. Both public and private companies contribute data to the report available from SEMI. Each quarterly report is published approximately three months after quarter close. EDMD report data is segmented as follows:

• Revenue by product category (CAE, IC Physical Design and Verification, Semiconductor IP, PCB/MCM Layout, and Services) including numerous detailed sub-categories
• Revenue by geographic region (Americas, EMEA, Japan and APAC)
• Total employment at participating companies

For information about SEMI market research reports, visit the SEMI Market Research Reports and Databases Catalog.

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 2,500 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), the MEMS & Sensors Industry Group (MSIG) and SOI Consortium are SEMI Strategic Technology Communities. Visit www.semi.org to learn more