EDA industry revenue down in Q3: EDA Consortium

SAN JOSE, USA: The EDA Consortium (EDAC) Market Statistics Service (MSS) announced that the Electronic Design Automation (EDA) industry revenue for Q3 2009 is $1,167.9 million, a 3.8 percent sequential increase from Q2. On a Q3/Q3 basis, EDA industry revenue declined 7.2 percent, compared to $1,258.6 million in Q3 2008. The four-quarter moving average declined 13.1 percent.

“Just as the semiconductor industry has experienced sequential growth, the EDAC revenue numbers similarly represent a sequential increase over the previous quarter,” said Wally Rhines, EDAC chair and chairman and CEO of Mentor Graphics. “Most notable sequential increases were in the categories of printed circuit board, semiconductor IP, and services.”

Companies that were tracked employed 25,942 professionals in Q3 2009, down 7.9 percent from the 28,176 employed in Q3 2008, and down 1.4 percent from the 26,298 employed in Q2 2009.

Revenue by product category
Computer Aided Engineering (CAE), EDA’s largest category, generated revenue of $450.1 million in Q3 2009. This represents a 3.3 percent decrease over the same period in 2008. The four-quarter moving average for CAE declined 15.6 percent.

In the next largest category, IC Physical Design & Verification, revenue decreased to $260.8 million in Q3 2009, a 10.0 percent decrease compared to Q3 2008. The four-quarter moving average declined 16.9 percent for IC Physical Design & Verification.

Printed Circuit Board and Multi-Chip Module (PCB & MCM) revenue increased 1.5 percent compared to Q3 2008, to $132.9 million. The four-quarter moving average for PCB & MCM decreased 10.6 percent.

Semiconductor Intellectual Property (SIP) revenue totaled $240.7 million in Q3 2009, a 10.1 percent decrease compared to Q3 2008. The four-quarter moving average for SIP decreased 8.0 percent.

Services revenue was $83.5 million in Q3 2009, a decrease of 20.3 percent compared to Q3 2008. The four-quarter moving average for services decreased 4.0 percent.

Revenue by consuming region
The Americas, EDA’s largest region, purchased $511.2 million of EDA products and services in Q3 2009, representing an 8.0 percent decrease compared to Q3 2008. The four-quarter moving average was down 14.1 percent for the region.

Revenue in Europe, the Middle East, and Africa (EMEA) was down 17.6 percent in Q3 2009 compared to Q3 2008 on revenues of $204.0 million. The four-quarter moving average for EMEA was down 15.4 percent.

Q3 2009 revenue from Japan decreased 2.3 percent to $248.9 million compared to Q3 2008. The four-quarter moving average for Japan decreased 15.1 percent.
The Asia/Pacific (APAC) region increased to $203.8 million in Q3 2009, a 1.6 percent increase compared to the same quarter in 2008. The four-quarter moving average declined 4.7 percent.