(July 7, 2008) SAN JOSE, CA — The EDA Consortium (EDAC) Market Statistics Service (MSS) has reported a 1.2% decline in electronic design automation (EDA) industry revenue for Q1 2008, from a Q4 2007 revenue of $1366.8M to $1350.7M. The four-quarter average growth rate, which compares the most recent four quarters to the same four quarters in the prior year, was up 5.9%. Companies that were tracked employed 27,329 professionals in Q1 2008, up 5.8% from the 25,820 employed in Q1 2007.
“Weakness in the large EDA companies was partly offset by strength in startups, with resulting numbers that were slightly down year over year,” said Walden C. Rhines, EDAC chair and Mentor Graphics CEO and chairman. “Main areas of strength were in leading-edge technologies such as electronic system level design, design for manufacturing, design for test, IC layout verification, IC/ASIC power analysis, and RF/ mixed-signal design.”
For IC physical design and verification revenue decreased to $325M in Q1 2008, down 9.1% from a year ago, but the four quarter moving average growth rate (MAGR) increased 6.7%. PCB and multi-chip module (PCB & MCM) revenue decreased 1.4 % in the same time period to $131.1M, and the The four quarter MAGR decreased 4.7%
On the up side, semiconductor intellectual property (SIP) revenue totaled $271.4M in Q1 2008, representing a 1.7 % increase over Q1 2007. The four quarter MAGR for SIP was 1.2 %. And lastly, services revenue logged in at $87.8 M in Q1 2008, down 0.8 %t from Q1 2007, with a 6.0% four quarter MAGR for services.
By region, North America reportedly spent 8.2% less on EDA products and services in Q1 2008 as compared to the same reporting period last year, but the MAGR was slightly up by 0.8%. Western Europe reported a 13.5% revenue increase with a 11.2% MAGR, and Japan reported an increase of 2.4% and a four quarter MAGR increase of 7.9 %.
Rest-of-World (ROW) reported a 2.5 % decrease compared to the same quarter in 2007. The four quarter MAGR was positive at 19.9%.