Set micro-consulting (JW Insights) also recently released the “Global EDA/IP industry market Research Report” pointed out that from a market perspective, the large-scale commercial landing of 5G, AI, intelligent vehicles and other fields has brought about a surge in demand for advanced high-computing chips, and the market size of EDA tools supporting chip design will grow steadily; In addition, with the tightening of science and technology blockade and sanctions, the potential energy of China’s EDA localization will also accelerate, the scale of the domestic EDA industry is expected to accelerate growth, and due to the particularity of the EDA industry, the investment and financing mergers and acquisitions of the head enterprises are also expected to accelerate.

PCD232A However, after entering 2023, the semiconductor industry as a whole has entered a trough period. As an upstream part of the semiconductor industry, the EDA industry has also been affected and experienced a decline in investment and financing activity. This change reflects the market’s long-term cautious view of the development of the EDA industry, emphasizing the need for sound management and deep technology after rapid development. In this market environment, the industry is likely to see more investment focused on quality rather than quantity, and more precise strategic choices in mergers and acquisitions.

Future outlook: AI innovation, cloud computing integration and IP collaboration in EDA industry

AI innovation

The goal of AI intelligence is to greatly reduce the manpower proportion of repetitive and low-creativity work such as chip architecture exploration, design, layout and wiring from the existing EDA use process, and to use AI algorithms for automatic architecture exploration, design generation and physical design. In the future development of the EDA industry, the integration of AI technology marks an important turning point.

PCD232A This year, for example, Synopsys launched Synopsys.AI, the industry’s first full-stack AI-driven EDA solution, covering the design, validation, test, and analog circuit design phases. The solution significantly improves the efficiency and yield of chip design by automating architecture exploration and physical design, marking a breakthrough in AI technology in driving EDA tools.

Domestic enterprises are not far behind, showing significant progress in the application of AI to the EDA field. The first domestic enterprise hardware simulation system launched by Sierxin in 2022, OmniArk, uses an AI-driven intelligent compilation engine, which greatly optimizes the compilation efficiency and routing success rate. This intelligent tool application not only reduces the manpower requirements of the design, but also improves the automation and efficiency of the entire design process.