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Electronic Design Automation Software Market Value Analysis: What Growth Lies Ahead Over The Forecast Period?
The electronic design automation software market size has experienced robust growth in recent years. It is projected to expand from $35.82 billion in 2025 to $37.76 billion in 2026, demonstrating a compound annual growth rate (CAGR) of 5.4%. The expansion observed in the historic period stems from factors such as the rise in adoption of PCB design software, an increase in the use of IC physical design tools, the expansion of multi-chip module design platforms, growing demand for CAE and simulation tools, and a rise in semiconductor IP deployment.
The electronic design automation software market is projected to experience substantial expansion over the coming years. Its value is anticipated to reach $48.65 billion by 2030, demonstrating a compound annual growth rate (CAGR) of 6.5%. This anticipated growth during the forecast period is largely driven by factors such as the heightened use of AI for design and verification, the expanding implementation of cloud-based EDA solutions, advancements in automated simulation and analysis, increased real-time design verification capabilities, and the growing uptake of IoT-integrated design platforms. Key trends identified for the forecast timeframe encompass the incorporation of AI-powered EDA tools, the wider acceptance of cloud-based EDA platforms, the introduction of IoT-enabled circuit simulation, the application of big data analytics in design processes, and the development of more extensive automated verification systems.
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Electronic Design Automation Software Market Growth Factors Behind Sustained Expansion
The expanding semiconductor sector is anticipated to drive the advancement of the electronic device automation (EDA) software market in the future. This industry segment within electronics concentrates on the exploration, creation, design, production, and supply of semiconductor devices, also known as chips or integrated circuits. EDA software plays a crucial role by expediting the design and production stages of semiconductors, minimizing inaccuracies, improving the standard of semiconductor devices, and fostering innovation through empowering semiconductor firms to engineer sophisticated and effective electronic components and systems. As an illustration, in September 2023, data from the Semiconductor Industry Association, a US-based trade and lobbying organization, showed that worldwide semiconductor industry sales reached $43.2 billion in July 2023. This represented a 2.3% rise when contrasted with the $42.2 billion recorded in June 2023. Consequently, the expansion of the semiconductor industry is stimulating the growth of the electronic device automation (EDA) software market.
Electronic Design Automation Software Market Segment Landscape And Growth Outlook
The electronic design automation software market covered in this report is segmented –
1) By Type: Computer-Aided Engineering (CAE), IC Physical Design And Verification, Printed Circuit Board And Multi-chip Module (PCB And MCM), Semiconductor Intellectual Property (SIP)
2) By Application: Communication, Consumer Electronics, Automotive, Industrial, Aerospace And Defense, Medical
3) By End-Use: Microprocessors And Controllers, Memory Management Units
Subsegments:
1) By Computer-Aided Engineering (CAE): Simulation and Analysis Software, Structural Analysis Tools, Thermal and Fluid Dynamics Simulation
2) By IC Physical Design and Verification: Layout Design Tools, Design Rule Checking (DRC) Software, Layout Versus Schematic (LVS) Verification Tools
3) By Printed Circuit Board and Multi-Chip Module (PCB and MCM): PCB Design Software, PCB Manufacturing Software, Multi-Chip Module Design Tools
4) By Semiconductor Intellectual Property (SIP): Standard Cell Libraries, Analog and Mixed-Signal IP, Digital Signal Processing (DSP) Cores
Electronic Design Automation Software Market Industry Trends Fueling Future Revenue Growth
Leading companies in the electronic design automation software market are concentrating on delivering technologically advanced solutions to fortify their market standing. Electronic Design Automation (EDA) software encompasses a suite of specialized tools used for the design, simulation, verification, and manufacturing of electronic systems, such as integrated circuits (ICs) and printed circuit boards (PCBs). For example, in March 2024, HCL, an India-based information technology services and consulting company, launched a new Electronic Design Automation (EDA). These EDA tools automate processes like circuit design, layout, simulation, and verification, thereby boosting productivity and lessening errors. This innovative solution seeks to accelerate extensive EDA implementations, considerably reduce time-to-market, and enhance product quality and reliability. By integrating with NetApp’s Design Anywhere framework, HCL Tech will aid clients in optimizing their IT environments, managing infrastructure, and scheduling workloads, while also providing various consumption models tailored to specific needs.
Electronic Design Automation Software Market Competitive Landscape: Who Leads The Industry?
Major companies operating in the electronic design automation software market are Cadence Design Systems Inc., Synopsys Inc., Ansys Inc., Aldec Inc., Altium LLC, Zuken Inc., Silvaco Inc., Keysight Technologies Inc., ProteanTecs Ltd., Solido Design Automation Inc., IC Manage, JEDA Technologies Inc., ShanghAI Hejian Industrial Software Group Co. Ltd., Concurrent EDA LLC, Altair Engineering Inc., AWR Corporation, Carbon Design Systems, Tanner EDA, Magwel Inc., Xpeedic Technology Co. Ltd.
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Electronic Design Automation Software Market Regional Split: Which Areas Are Fueling Growth?
North America was the largest region in the electronic design automation software market in 2025. The regions covered in the electronic design automation software market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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Wasay has over a decade of experience in market research, data modelling, and analytics, with prior experience at GlobalData and Decision Tree Consulting Services. At The Business Research Company , he leads research operations across syndicated studies, customized consulting engagements, and the Global Market Model platform. His professional experience includes supporting organizations such as Boston Consulting Group, KPMG, and Ernst & Young. Wasay holds a degree in Electronics and Communications Engineering, postgraduate management qualifications from International Management Institute Belgium and Indian School of Business and Entrepreneurship, and completed the Integrated Program in Business Analytics from Indian Institute of Management Indore.
