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Electronic Design Automation Industry Posts Double-Digit Revenue Growth for Q4 2016

March 30, 2017
The Americas reported more than $1 billion in revenue for Q4 2016, a record high.

The Electronic Design Automation (EDA) industry revenue increased 18.9% for the fourth quarter of 2016 to $2.46 billion, compared to $2.06 billion during the same period in 2015, according to the Electronic System Design (ESD) Alliance Market Statistics Service (MSS).

The industry’s four-quarters moving average—which compares the most recent four quarters to the prior four quarters—increased by 9.2%, according to ESD. Growth occurred across all four geographic regions: the Americas; Europe, Middle East and Africa; Japan; and Asia. 

The Americas reported more than $1 billion in revenue for Q4 2016, a record high, while Japan grew by double digits for the full year, ESD reports. All product categories saw solid fourth-quarter growth with CAE, semiconductor IP, IC physical design & verification, and PCB/MCM reporting double-digit increases. (See figure.)

Healthy growth for
Global revenue by product category in USD millions

Computer-aided engineering (CAE) equipment is the largest market segment, generating revenue of $757.5 million in Q4 2016. The fastest-growing segment of the market was PCB/MCM, which increased 42.5% from Q4 2015 to Q4 2016. It was followed by semiconductor IP, which grew by 22% during the same period.

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