CAD/CAM/CAE : electronic design automation, 1992 - Archive Server

2-2 CAD/CAM/CAE—Electronic Design Automation Applications
• Architectural-level tools to improve designer productivity. While
top-down design is now being adopted by the majority of electronic
designers, architectural-level tools wUl gain prominence in the next
two to five years, signaling yet another shift in the methodology of
designing electronic systems.
• Dataquest anticipates that a higher service content wiU emerge in
the EDA industry as large suppliers shift their business models
toward providing integration and consulting services, as well as a
focus toward solutions selling. This will cause service revenue to
grow commiserate with software sales, as shown in Figure 2-1.
The combination of these factors, both positive and negative, combine
to form a rather muddied outlook for EDA software for the next five
years. Companies that correctly position themselves in providing technologically
superior products will show good gains in replacing older
technologies. Those suppliers that are able to fundamentally shift the
way electronic systems are designed wiU show large gains, while those
companies that fail to anticipate methodology shifts wiU falter. All of
this activity will take place in a market that will show minimal gains
during the next five years. Our current forecast shows the worldwide
EDA software market wiU have an 8 percent compounded annual
growth rate (CAGR). This is down from the 10 percent CAGR the
industry experienced in the 1987 to 1991 time frame. Growth in the
Asian market is shown in Figure 2-2. The majority of this growth will
be seen in the technical workstation market, as the last vestiges of
host-based software are retired, as shown in Figures 2-3 and 2-4.
Figure 2-1
Worldwide EDA Software and Service Market History and Forecast
Millions of Dollars
1,500 -
1,000-
500-
" 1
1987 1988
• * -
Source: Dataquest (December 1992)
1 1
1989 1990
Software Revenue
1991
1
1992
I 1 1
1993 1994 1995
-•- Service Revenue
19 96
1
02001959
December 28,1992 ©1992 Dataquest Incorporated CCAM-EDA-MT-9202