Electronic System Design industry hits record revenues in Q2 2022

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The Electronic System Design (ESD) industry has reported that revenue increased by 17.5% from $3.2bn in Q2 2021 to $3.8bn in Q2 2022.

The figures from the ESD Alliance, a SEMI Technology Community, announced in its latest Electronic Design Market Data (EDMD) report also showed that the four-quarter moving average, which compares the most recent four quarters to the prior four, rose 15.3%.

“The electronic design automation (EDA) industry in Q2 2022 posted the highest year-over-year (YOY) increase in over a decade,” said Walden C. Rhines, Executive Sponsor of the SEMI Electronic Design Market Data report. “Quarterly revenue reached a record $3,748.7 million. All product categories and geographic regions recorded growth in the quarter.”

The companies tracked in the EDMD report employed 54,408 people globally in Q2 2022, an 8.9% increase over the Q2 2021 headcount of 49,964 and up 6% compared to Q1 2022.

Detailed revenue by Product and Application Category were as follows:

  • Computer-Aided Engineering (CAE) revenue increased 12.1% to $1.1bn. The four-quarter CAE moving average increased 12.9%.
  • IC Physical Design and Verification revenue increased 13% to $657 million. The four-quarter moving average for the category increased 0.6%.
  • Printed Circuit Board and Multi-Chip Module (PCB and MCM) revenue increased 22% to $347.1 million. The four-quarter moving average for PCB and MCM rose 12.9%.
  • Semiconductor Intellectual Property (SIP) revenue jumped 22.6% to $1,476.7 million. The four-quarter SIP moving average grew 25.3%.
  • Services revenue increased 23.2% to $130.7 million. The four-quarter Services moving average increased 24.8%.

Regional figures showed that the Americas, the largest reporting region by revenue, procured $1.6bn of electronic system design products and services in Q2 2022, a rise of 20.2% while the four-quarter moving average for the Americas rose 18.5%.

Europe, Middle East, and Africa (EMEA) procured $472 million of electronic system design products and services in Q2 2022, which was a 13.7% increase. The four-quarter moving average for EMEA grew 9%.

Japan’s procurement of electronic system design products and services increased 6.1% to $252.3 million. The four-quarter moving average for Japan rose 4.3%.

Asia Pacific (APAC) procured $1.4bn of electronic system design products and services in Q2 2022, a 17.9% increase. The four-quarter moving average for APAC increased 16.1%.