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EDA industry grew 11% in 2006, says report

Posted: 27 Mar 2007 ?? ?Print Version ?Bookmark and Share

Keywords:EDA? Gary Smith EDA? industry report? EDA industry?

The new EDA Market Forecast report issued by Gary Smith EDA predicts strong growth for the industry through 2011. According to the report, the EDA industry grew approximately 11 percent in 2006.

The report, authored by analyst Laurie Balch at Gary Smith EDA, notes that final market share and growth data is still being tallied for 2006, but the current expectation is around 11 percent market growth. "This is a drastic about-face for the industry, which has been in a major growth slump since the turn of the century," the report notes.

Worldwide EDA product and maintenance revenue for 2006 should total around $4.45 billion, according to the report. While the report sees a lower growth rate in 2007 and 2008, growth is expected to accelerate again in 2009 and continue through 2011.

The report sees design for manufacturability (DFM) tools as a key driver for current EDA growth, along with ESL design, analog and mixed-signal tools, and low-power design tools. It warns, however, that "considerable consolidation" is likely in the emerging DFM and ESL market segments.

In most respects, the report is consistent with a Gartner Dataquest report authored by Laurie Balch in the fall of 2006, just before Gartner Dataquest closed its CAD group and Gary Smith launched Gary Smith EDA. The Gartner report predicted that an investment spurt in DFM aware CAD tools will boost EDA growth in 2006 to 13.3 percent, and pointed to ESL tools as the long-term driver for growth in EDA.

- Richard Goering
EE Times

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