Earlier this year, Cadence Design Systems acquired Cosmic Circuits, provider of semiconductor IPs and chip design firm Tensilica to strengthen itself in the area semiconductor IPs.
Cadence Design Systems is focusing on strategic acquisitions to improve its response time to the market and position itself as a company providing core IP centric solutions.
The acquisition is likely to be completed in the second quarter of 2013. Terms of the transaction were not disclosed but the acquisition is not expected to have any material impact on Cadence’s balance sheet or second quarter or fiscal 2013 results of operations.
Commenting about the acquisition, Evatronix co-founder and president Wojciech Sakowski said, “Evatronix’s IP cores and services are designed for ease-of-integration, quality and time-to-market. As part of Cadence, we will be able to reach more customers globally and to accelerate our IP roadmaps. The integration with Cadence will allow our customers to get to market faster with less effort.”
According to TechNavio’s analysts, the Global Electronic Design Automation market is expected to grow at a CAGR of 13.3 percent over the period 2011–2015. One of the key drivers contributing to the growth of this market is increasing demand from the Semiconductor industry.
Jaswinder Ahuja, corporate VP and MD, Cadence Design Systems India said according to Cadence, there are five big trends that will drive growth in the near and long term. These are mobility, application driven design, video, cloud and security.
Key vendors dominating this market space are Synopsys, Cadence Design Automation and Mentor Graphics.
Cadence reported fourth quarter 2012 revenue of $346 million, as compared to $308 million for the same period in 2011.