Electronic Design Automation (EDA) Market, By type (Computer Aided Engineering (CAE), IC Physical Design & Verification, Printed Circuit Board (PCB) and Multi-Chip Module (MCM), Semiconductor Intellectual Property (SIP), Services), By Application (Aerospace & Defense, Automotive, Consumer Electronics, Industrial, Medical, Telecommunications, Others), and Regional Insights and Forecast to 2033

ELECTRONIC DESIGN AUTOMATION (EDA) MARKET OVERVIEW

• 

   Request a Free Sample To Get More Information on this Market

The electronic design automation (eda) market size was valued at approximately USD 0.57 billion in 2024 and is expected to reach USD 0.97 billion by 2033, growing at a compound annual growth rate (CAGR) of about 6.4% from 2025 to 2033.

It provides the user with a lot of features that make this particular product service work efficiently and effectively. For semiconductor and electronic system designers, the Electronic Design Automation (EDA) market offers a range of software solutions that automate printed circuit board (PCB) and integrated circuit (IC) design and verification. These technologies improve product quality, speed up time to market, and increase productivity. Schematic capture, simulation, synthesis, location and route, and verification tools are essential elements. Circuit behavior is analyzed by simulation tools, schematic capture tools produce graphical representations of circuits, and synthesis tools convert abstract descriptions into intricate implementations. The need for EDA tools, which help manage interactions and satisfy performance restrictions, is driven by more complex electronic systems. This factor has augmented the Electronic Design Automation (EDA) Market growth.

The anticipated rate of growth for this particular product service is due to quality level of assurance. Prosperity has been observed for this particular product market with amusing numbers. Consumers' increasing interest in fitness is fueling the market for small fitness gadgets like fitness trackers and smartwatches. As a result, businesses are urged to create novel items with improved features, and researchers are concentrating on utilizing electrical design techniques to create dependable and affordable products. This factor has attributed the overall growth of this market and helped with the hike of revenue numbers as well. Its ability to adapt to the increasingly complex modern production processes makes it an essential tool for quality control, which is driving up its market share. This has ultimately outraged the sales and demand for this particular market growth and prosperity.

COVID-19 IMPACT

"Market Growth Obstructed by Pandemic due to Lockdown"

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.

This has affected the overall supply and demand chains of the particular market. As a result of the government's lockdown and other steps to stop the coronavirus from spreading, all supply activities were postponed, which decreased the amount of product related to semiconductor and electronics. Therefore, a small influence from COVID-19 is anticipated on the Electronic Design Automation (EDA) Market. Government has put restrictions on social gatherings, events and moving out from home which make the people homesick. Numerous companies are encountering hurdles due to covid pandemic as the outbreak situation has curtailed production and supply chain which has hindered the market switched to treating covid patients as priority over the other procedures which led the Electronic Design Automation (EDA) Market growth share. Additionally, manpower shortages affected manufacturing plants and slowed production due to movement restrictions and lockdowns in several regions. Stopped providing on-site maintenance and installations market growth sputtered amid the pandemic. Production facilities throughout the nations have been hindered by the abrupt lockdown. The pandemic has also had a negative impact on facial recognition door lock manufacturing and production facilities. The disruption in the supply chain and the decreased availability of labor, staff, and resources are the causes of this.

LATEST TREND

"Growth of the Semiconductor Industry Increase the Market Growth for Electronic Design Automation (EDA) to Drive Market Growth"

A latest trend has been witnessed to proliferate the market growth. This particular trend has been recorded to be the most profiting trends that have been upgraded to augment the overall market growth. The market for Electronic Design Automation (EDA) is greatly boosted by the expansion of the semiconductor industry through a number of interrelated causes. The need for increasingly complex and effective integrated circuits (ICs) has grown in the semiconductor industry. Numerous industries, including consumer electronics, automobiles, telecommunications, and industrial automation, are responsible for this demand. Because of their complexity, these ICs require sophisticated design tools and techniques to handle the complexities of their development. EDA tools, which provide a suite of software solutions for tasks including circuit design, simulation, verification, and layout, are useful in this situation. This specific trend has influenced the market growth so much so that the revenue and share numbers of this particular product is touching the skies and soaring over.

ELECTRONIC DESIGN AUTOMATION (EDA) MARKET SEGMENTATION

By Type

Based on Type, the global market can be categorized into Computer Aided Engineering (CAE), IC Physical Design & Verification, Printed Circuit Board (PCB) and Multi-Chip Module (MCM), Semiconductor Intellectual Property (SIP), Services.

• Computer Aided Engineering (CAE): It is nothing but a type of AOI with the Inline 3D AOI.

• IC Physical Design & Verification: It is basically a type that of AOI with the oven Offline 3D AOI.

• Printed Circuit Board (PCB) and Multi-Chip Module (MCM):

• Semiconductor Intellectual Property (SIP), Services:

By Application

Based on application, the global market can be categorized into Aerospace & Defense, Automotive, Consumer Electronics, Industrial, Medical, Telecommunications, Others.

• Aerospace & Defense: It is just an application where it is used by PCB Industry.

• Automotive: It is nothing but an application where it is used by Panel Display Industry.

• Consumer Electronics:

• Industrial:

• Medical:

• Telecommunications:

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

"expanding IoT, AI, and automotive industries to Boost the Market"

This is the major factor attributing the growth of this particular market. This factor is majorly involved in taking the revenue numbers above the skies and soaring greater heights and also the sales and demands have been proliferation and increased its value to greater extent. Chipmakers are progressively moving toward integrating AI into edge computing because of the computational power it offers at the device level, which improves response speed and efficiency. Intel, for example, is focusing on "edge computing" to make it possible to incorporate AI into smartphones and Internet of Things devices. Due to the introduction of 5G and vendors' efforts to reduce power consumption, wireless IoT chips are predicted to become more and more popular over time. Silicon Labs claims that over a billion Internet of Things wireless chips have been deployed. It is projected that each of these elements will quicken market growth. It is anticipated that the growing need for AI to produce marketable goods would have a greater impact on semiconductor manufacturers. This particular product has recorded to be profiting for the market growth. This particular factor has been proved to a boon for this particular product market. These factors are anticipated to drive the Electronic Design Automation (EDA) Market growth during the forecast period.

"Increasing miniaturization across a range of industries to Expand the Market"

This is the second major factor attributing the growth of this particular market and has resulted in the hike of revenue numbers so much so that they are touching the skies. Clients benefit from it. This particular product market has touched new levels of lucrative revenue numbers and has also recorded to be the boon for this particular product market growth. In the current era of sophisticated electronics, the drive toward miniaturization has made it possible for businesses in a number of sectors, including as consumer electronics, healthcare, automotive, aerospace and defense, and others, to create small electronic devices. These gadgets incorporate tiny semiconductor parts, like smart baggage tags, fitness watches for wearable technology, automotive subsystems for the automotive sector, and surgical instruments and blood glucose monitors for the medical field. One advantage of miniaturization is that it makes room for more functions and more efficient batteries. Consumers' increasing interest in fitness is fueling the market for small fitness gadgets like fitness trackers and smartwatches. As a result, businesses are urged to create novel items with improved features, and researchers are concentrating on utilizing electrical design techniques to create dependable and affordable products. This factor has attributed the overall growth of this market and helped with the hike of revenue numbers as well. These factors are anticipated to drive the Electronic Design Automation (EDA) Market growth in the present times and also during the forecast period.

Restraining Factor

"Continuous advancements in technology to Impede Market Growth"

These particular solutions have been very helpful yet extremely costly as well. The semiconductor industry is characterized by rapidly changing technology and is always changing. New technologies are being released with every leap, upending the balance of the market. This pattern also holds true for the integrated circuit (IC) sector, where a semiconductor chip's process nodes are essential. The form factor, IP core design architecture, and chip design complexity are all impacted by the node change. System-on-chip (SoC) design consequently encounters technological difficulties with device integration and the creation of novel design approaches. The size of technology nodes varies with constant evolution, requiring adjustments to the IP core design architecture. The majority of semiconductor companies are improving their electronic design automation systems to meet the growing demands of the technology. This particular factor is anticipated to restrain the market growth and drastically reduce the sales and demands of this particular product market.

Opportunity

"Growing need in the aerospace and defense sector for electronic design automation solutions To Create Opportunity for the Product in the Market"

This particular opportunity has been attributing the market growth immensely. Semiconductor chips and circuits that can operate in extreme temperatures and radiation environments are essential to the aerospace and defense industries. As a result, specific materials must be used to incorporate these chips into compact, less dense form factors. Because they are crucial components, chips and circuits undergo extensive testing to make sure they are effective and fail-proof because malfunctions could have dire repercussions. Enhanced electronic design automation techniques are being used to quickly integrate programmable chip platforms into semiconductors in order to fulfill the demands of avionics systems.

Challenge

"High complexity as a result of ongoing technical advancements and massive data volumes Could Be a Potential Challenge for Consumers"

This particular factor has been drastically challenging for the market growth and has become another major restraining factor. High initial investment costs to hamper the market growth. As a result of the semiconductor industry's constantly changing technological landscape, chip sizes are changing, which calls for modifications to the IP core design architecture. This leads to changes in chip form factor and design complexity. Consequently, the market for electronic design automation has difficulties as EDA vendors are sometimes required to create new design processes. Additionally, the growing volume of data needed for EDA solutions presents a problem for vendors, who have to meet the need for quicker processing because of the semiconductor industry's rapid development cycles. Increased design complexity, the need for on-demand computing, the use of hybrid clouds for design workloads, and industry consolidation are additional barriers to the market expansion for electrical design automation.

ELECTRONIC DESIGN AUTOMATION (EDA) MARKET REGIONAL INSIGHTS

• 

   Request a Free Sample To Get Analysis on Major Geographic Market

North America

The North American region has augmented a lot in the past few years in this particular product market. The United States Electronic Design Automation (EDA) Market has anticipated to augment immensely over the forecast period. Because of growing innovation and technological developments in all of the region's manufacturing sectors, North America held the second-largest market share in 2019. The market in this area is also being driven by the increasing need for smartphones and other smaller, quicker, and more efficient electronics. Because of the large number of automakers in Europe, the AOI market is anticipated to rise steadily. The focus of automakers in nations like France and Germany is on improving the safety features of their cars, which has increased demand for high-quality electronic components and, consequently, AOI systems in this area.

Europe

The european market for this particular market has been accounted for attributing the over all global shares for this particular product service market.

Asia

Asia-Pacific is anticipated to expand at the fastest rate during the projection period due to a rise in the demand for cutting-edge technologies. This particular region has experienced immense proliferation in the market shares and has attributed to the global market revenue. Thanks to active government support, a growing industrial sector, and strong demand for electronic products, Asia Pacific currently owns the largest share of the global market for 3D automated optical inspection (AOI). Underpinned by its critical role in electronics production and consumption, as well as by strategic regulatory incentives that support the widespread deployment of 3D AOI systems, this region remains the center of market growth.

KEY INDUSTRY PLAYERS

"Leading Players adopt Acquisition Strategies to Stay Competitive"

Several players in the market are using acquisition strategies to build their business portfolio and strengthen their market position. In addition, partnerships and collaborations are among the common strategies adopted by companies. Key market players are making R&D investments to bring advanced technologies and solutions to the market.

List Of Top Electronic Design Automation (EDA) Companies

• Cadence Design Systems (U.S.)
• Mentor Graphics (Siemen) (U.S.)
• Synopsys (U.S.)

KEY INDUSTRY DEVELOPMENT

February 2022: This particular company has attributed the market growth in terms of revenue and shares system. This particular development and investment the global market has been recorded to be a boon for the market growth. In order to offer top-notch EDA tools and simulation solutions that will foster client innovation, including custom silicon for adaptable three-dimensional integrated circuit (3D-IC) designs, Ansys announced its first collaboration with the IFS Accelerator EDA Alliance.

REPORT COVERAGE

This research profiles a report with extensive studies that take into description the firms that exist in the analysis by inspecting the factors like segmentation, opportunities, industrial developments, trends, growth, size, share, and restraints. This analysis is subject to alteration if the key players and probable analysis of market dynamics change market affecting the forecasting period. With detailed studies done, it also offers a comprehensive.