What Worked, What Didn't In 2019

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The year started out shaky, but EDA racked up solid growth and semiconductors show good promise for 2020.

semiengineering.com, Dec. 19, 2019 – 

2019 has been a tough year for semiconductor companies from a revenue standpoint, especially for memory companies. On the other hand, the EDA industry has seen another robust growth year.

A significant portion of this disparity can be attributed to the number of emerging technology areas for semiconductors, none of which has reached volume production yet. Some markets continue to struggle, and some may be entering a trough of disillusionment. But there are increasing numbers of design starts, which account for strong EDA growth, many of them coming from companies that have not designed hardware in the past. And despite some fluctuations, expectations remain high among analysts, who are projecting anywhere from 8% to 12% CAGR over the next five years.

Leading the charge is AI. "Big data and AI applications, including machine learning and deep learning, are now key drivers for the electronics industry," says Rob van Blommestein, head of marketing at OneSpin Solutions. "This has led to the emergence of heterogeneous computing platforms, both traditional SoCs with embedded FPGA fabric and massive FPGAs that qualify as SoCs, too. Xilinx's 7nm Versal adaptive compute acceleration platform (ACAP) is a good example of this trend."

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