Fresh PCB Concepts: Resilience and Renewal in Domestic PCB Manufacturing
Designers Notebook: Power and Ground Distribution Basics
Elementary, Mr. Watson: Heat—The Hidden Villain of Power Electronics
ESD Alliance Reports EDA Industry Revenue Up 7% for Q3 2016
December 22, 2016 | PRNewswireEstimated reading time: 3 minutes
The Electronic System Design (ESD) Alliance Market Statistics Service (MSS) today announced that the Electronic Design Automation (EDA) industry revenue increased 7.0% for Q3 2016 to $2093.7 million, compared to $1957.5 million in Q3 2015. The four-quarters moving average, which compares the most recent four quarters to the prior four quarters, increased by 3.7%.
"The industry realized solid growth in Q3, with all of the geographic regions – Americas, Europe, Middle East and Africa, Japan, and Asia/Pacific - reporting revenue increases," said Walden C. Rhines, board sponsor for the ESD Alliance MSS and chairman and CEO of Mentor Graphics. "Product categories CAE, Semiconductor IP, IC Physical Design & Verification, and services all reported increases in the third quarter."
Companies that were tracked employed a record 35,515 professionals in Q3 2016, an increase of 6.2%compared to the 33,430 people employed in Q3 2015, and up 1.5% compared to Q3 2016.
The complete quarterly MSS report, containing detailed revenue information broken out by both categories and geographic regions, is available to members of the ESD Alliance.
Revenue by Product Category
Computer Aided Engineering (CAE) generated revenue of $666.7 million in Q3 2016 which represents a 5% increase compared to Q3 2015. The four-quarters moving average for CAE decreased 1.2%.
IC Physical Design & Verification revenue was $441.3 million in Q3 2016, an 8.2% increase compared to Q3 2015. The four-quarters moving average increased 2.8%.
Printed Circuit Board and Multi-Chip Module (PCB & MCM) revenue of $162.2 million for Q3 2016 represents a decrease of 0.1% compared to Q3 2015. The four-quarters moving average for PCB & MCM increased 0.9%.
Semiconductor Intellectual Property (SIP) revenue totaled $720.9 million in Q3 2016, a 10.4% increase compared to Q3 2015. The four-quarters moving average increased 10.1%.
Services revenue was $102.6 million in Q3 2016, an increase of 3% compared to Q3 2015. The four-quarters moving average increased 2.9%.
Revenue by Region
The Americas, EDA's largest region, purchased $932.9 million of EDA products and services in Q3 2016, an increase of 3.2% compared to Q3 2015. The four-quarters moving average for the Americas increased 1.3%.
Revenue in Europe, the Middle East, and Africa (EMEA) increased 2.3% in Q3 2016 compared to Q3 2015 on revenues of $297 million. The EMEA four-quarters moving average decreased 0.7%.
Third-quarter 2016 revenue from Japan increased 3.9% to $213.2 million compared to Q3 2015. The four-quarters moving average for Japan increased 5.5%.
The Asia/Pacific (APAC) region revenue increased to $650.6 million in Q3 2016, an increase of 16.6%compared to the third quarter of 2015. The four-quarters moving average increased 9%.
The complete MSS report, available to the ESD Alliance members, contains additional detail for countries in the Asia/Pacific region.
About the MSS Report
The ESD Alliance Market Statistics Service reports EDA 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), and region (the Americas, Europe Middle East and Africa, Japan, and Asia Pacific), with many subcategories of detail provided. The report also tracks total employment of the reporting companies.
About the ESD Alliance
The Electronic System Design Alliance (ESD Alliance) is an international association of companies that provide goods and services that are the foundation of the semiconductor design ecosystem. This ecosystem encompasses all of the activities required to create a semiconductor design and associated hardware and software for manufacturing and delivery of new electronic products.
Member companies include developers and suppliers of EDA, semiconductor IP, embedded software, packaging, PCB/interconnect and others. Collectively, they provide the software, services, intellectual property and hardware needed to design and verify semiconductors, associated software, packaging and interconnect technologies for the manufacturing of these products. Markets served by these products range from computers, communications, networking, medical and industrial equipment, automotive electronics, and consumer electronics to emerging markets such as the Internet of Things (IoT).
Share on:
Testimonial
"Advertising in PCB007 Magazine has been a great way to showcase our bare board testers to the right audience. The I-Connect007 team makes the process smooth and professional. We’re proud to be featured in such a trusted publication."
Klaus Koziol - atgSuggested Items
Firefly Aerospace Announces Strategic Acquisition of SciTec to Advance National Security Capabilities
10/07/2025 | Firefly AerospaceFirefly Aerospace, a market leading space and defense technology company, has entered into a definitive agreement to acquire SciTec, Inc., a leader in advanced national security technologies, for approximately $855 million through a combination of $300 million in cash and $555 million in Firefly shares issued to SciTec owners at a price of $50 per share.
High-Tech Hill Technology Park Opens: Four New Factories Launched
09/26/2025 | TeltonikaThe ambitious vision announced in late 2020 to build a world-class technology park in Liepkalnis, Vilnius, has become a reality. AGP Investments, led by entrepreneur Arvydas Paukštys, together with high-tech leaders Teltonika and TLT, today inaugurated four new factories at the Vilnius High-Tech Hill Technology Park.
U.S. Manufacturing Jobs Decline Amid Tariffs and Immigration Crackdown
09/17/2025 | I-Connect007 Editorial TeamManufacturers in the U.S. are cutting jobs even as President Donald Trump pushes policies he says will revitalize the industry. Employers shed 12,000 manufacturing jobs in August, while payrolls in the sector have fallen by 42,000 since April, according to a new analysis from the Center for American Progress (CAP) based on government labor data.
Defense Speak Interpreted: If CHIPS Cuts Back, What Happens to Electronics Packaging Funds?
09/02/2025 | Dennis Fritz -- Column: Defense Speak InterpretedIn my May column, I examined the topic of the CHIPS Act and its current status as a U.S. government program. I found that CHIPS activities continue, but some corporations have delayed or canceled them because of budget cuts or corporation-specific problems. However, CHIPS integrated circuits—mostly administered by the Department of Commerce—don’t fully drive the electronics interconnection activity being funded by the government. Let’s cover the progress/status of other programs:
Ecolab to Acquire Ovivo’s Electronics Ultra-Pure Water Business
08/15/2025 | EcolabEcolab Inc. has entered into a definitive agreement to acquire Ovivo’s Electronics business, a leading and fast-growing global provider of breakthrough ultra-pure water technologies for semiconductor manufacturing.