The electronic design automation (EDA) tools market is projected to reach USD 9.49 billion by 2024

Electronic design automation (EDA)

EDA is an integral component of the semiconductor design. The fast growth of the automotive, IoT and AI sectors positively impact the EDA market and are the main reason for the expected growth in the upcoming years. EDA is responsible for developing the design tools that enable the IC design process to be achieved at a design cost that allows the ecosystem to operate at a profit.

Based on recent reports, the electronic design automation (EDA) tools market is projected to reach $9.49 billion by 2024. That’d be a 150% increase compared to $6.32 market value in 2018.

Key Market Trends

There are a few market trends for you to watch out:

  • All of the major EDA vendors are scrambling to expand their process portfolios for automotive customers.
  • The increasing complexity in the automotive industry is positively impacting the demand for EDA tools across the industry.
  • EDA vendors have started to offer their tools and software online. Increased Internet penetration worldwide has made it easy for potential customers to access these tools online, and use them to design and fabricate chips.
  • China’s growth in foundry services is reflected by the capital spending of Semiconductor Manufacturing International Corporation (SMIC).
  • The Asia-Pacific semiconductors market has been boosted by a strong domestic demand, causing the market to become the largest in the world.

Competitive Landscape

  • The EDA market is highly fragmented
  • New opportunities in the automotive, IoT, artificial intelligence, and virtual/augmented reality sectors have allowed semiconductor companies throughout all phases of the IC production cycle to prosper, with sizable revenue increases.
  • Synopsys announced its investment in AI design solutions, to address the extreme complexities of leading-edge design.

The information in this article is based on the Electronic Design Automation Tools (EDA) Market – Growth, Trends, and Forecast (2019 – 2024) report: