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Semiconductor Electronic Design Automation Software sector

Strategic acquirers, private equity (buyout funds and growth funds) firms, and valuation benchmarks for Semiconductor Electronic Design Automation Software

1.1 - About Semiconductor Electronic Design Automation Software sector

Companies in this category develop Semiconductor Electronic Design Automation Software that enables chip designers to plan, implement, verify, and sign off complex ICs and SoCs. Their toolchains orchestrate digital, analog, and mixed‑signal workflows, integrate foundry PDKs, and manage design data at scale. Customers use these platforms to accelerate development, improve performance and yield, reduce risk, and achieve first‑pass silicon with predictable schedules and costs.

Typical capabilities include RTL design and logic synthesis tied to constraint management, automated place‑and‑route with congestion and clock‑tree optimization, and static timing analysis for signoff. Vendors provide SPICE and mixed‑signal circuit simulation, functional simulation and formal verification, plus equivalence checking between RTL and gates. Physical verification covers DRC/LVS with parasitic extraction, while power, signal‑integrity, and EM/IR analysis guide PPA optimization. Many platforms add hardware emulation, FPGA prototyping, design‑for‑test, and IP catalog management.

Primary customers include fabless semiconductor companies, integrated device manufacturers, and systems OEMs building custom silicon. These buyers seek faster tape‑out cycles, higher verification coverage, and improved PPA metrics to hit performance, power, and area targets. The tools also drive first‑pass silicon success, lower re‑spin risk and cost, and better collaboration across distributed design teams, leading to predictable schedules and greater design throughput.

2. Buyers in the Semiconductor Electronic Design Automation Software sector

2.1 Top strategic acquirers of Semiconductor Electronic Design Automation Software companies

Synopsys Logo

Synopsys

HQ: United States Website
  • Description: Provider of electronic design automation tools, silicon-proven semiconductor IP, hardware-assisted verification solutions, and professional design services that support end-to-end chip and system development, including on-demand cloud access to EDA software.
  • Key Products:
  • Synopsys Cloud: Delivers unlimited on-demand access to EDA software licenses, enabling flexible scaling and rapid provisioning for design teams working on complex silicon projects
  • Synopsys.ai: AI-powered workflow optimization platform that re-engineers engineering, providing award-winning automation to accelerate product development and boost productivity
  • Multi-Die System Solution: Comprehensive, scalable offering for fast heterogeneous integration, driving success from early architecture through manufacturing for next-generation multi-die designs
  • DesignWare Interface IP Portfolio: High-quality, silicon-proven IP blocks such as USB
  • PCIe
  • DDR
  • Ethernet and more that speed SoC development with validated interfaces and reduced risk.
  • Company type: Private company
  • Employees: ●●●●●
  • Total funding raised: $●●●m
  • Backers: ●●●●●●●●●●
  • Acquisitions: ●●
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2.2 - Strategic buyer groups for Semiconductor Electronic Design Automation Software sector

M&A buyer group 1: IP Cores

5 companies View group →
Description: Companies in this space develop and license reusable silicon IP blocks for ASIC and SoC design, including interface, compute, and security cores. By delivering pre-verified, standards-compliant design components, they accelerate integration, cut engineering effort, and reduce tape-out risk. The Electronic Design Automation Silicon IP Solutions category covers vendors that package RTL, models, and integration support so chip teams can focus on system differentiation and faster time-to-market.
Xperi

Xperi

HQ: United States
  • Type: N/A
  • Employees: ●●●●●
  • Description: Provider of media and entertainment technologies whose brands TiVo, DTS and HD Radio invent, develop and license solutions that deliver enhanced video, audio and listening experiences—spanning living-room devices to connected cars—and include the IMAX Enhanced certification program.
  • Key Products:
  • TiVo OS Smart TV Platform: Provides a content-first, user-friendly operating system for Smart TVs, enabling smarter discovery and seamless ad monetization for viewers and advertisers while supporting OEM partnerships
  • DTS Audio Technologies: Offers broadcasting and in-car audio solutions such as DTS AutoStage that leverage AI to help radio broadcasters reach audiences at the right time without overextending platform resources
  • HD Radio Digital Broadcast Technology: Delivers high-quality digital radio listening experiences, enhancing audio reception and content options for consumers across compatible receivers and vehicles
  • IMAX Enhanced Certification Program: Supplies a joint IMAX-DTS licensing standard that certifies devices and content for premium video and sound performance, ensuring cinematic experiences in home entertainment products.
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Key Products: ████████, ████████, ████████, ████████
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Buyer group 3: ████████ ████████

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Key Products: ████████, ████████, ████████, ████████
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3. Investors and private equity firms in Semiconductor Electronic Design Automation Software sector

3.1 - Buyout funds in the Semiconductor Electronic Design Automation Software sector

Buyout Funds investing in Semiconductor Electronic Design Automation Software companies

51+ funds
Description: Buyout funds focused on Semiconductor Electronic Design Automation Software companies globally.

TPG

Website HQ: United States
  • Type: Buyout
  • Fund Size: $●●●m
  • Investment Range: $●●-●●●m
  • Focus: Technology companies in Semiconductor Electronic Design Automation Software
  • Relevant M&A transactions / similar portfolio companies:
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2.2 - Strategic buyer groups for Semiconductor Electronic Design Automation Software sector

Growth Equity Funds in Semiconductor Electronic Design Automation Software companies

41+ funds
Description: Growth equity funds focused on Semiconductor Electronic Design Automation Software companies globally.

Summit Partners

Website HQ: United States
  • Type: Growth
  • Fund Size: $●●●m
  • Investment Range: $●●-●●●m
  • Focus: High-growth companies in Semiconductor Electronic Design Automation Software
  • Relevant investments / similar portfolio companies:
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4 - Top valuation comps for Semiconductor Electronic Design Automation Software companies

4.2 - Public trading comparable groups for Semiconductor Electronic Design Automation Software sector

Valuation benchmark group 1: CAD and PLM Software Companies

3 companies View group →
Description: Companies in this trading comparables group develop and license computer‑aided design (CAD), product lifecycle management (PLM), and adjacent engineering software that digitizes product design, data management, and verification. Revenue models center on subscription and perpetual licenses, maintenance, and services, with select hardware attachments. They are comparable given shared enterprise focus, sticky mission‑critical workflows, high gross margins, and recurring revenue profiles used as valuation benchmarks.
Cadence Design Systems logo

Cadence Design Systems

  • Enterprise value: $●●●m
  • Market Cap: $●●●m
  • EV/Revenue: ●.●x
  • EV/EBITDA: ●●.●x
  • Description: Provider of software, hardware, and intellectual property for the design and verification of advanced semiconductors and electronic systems, offering custom IC design, simulation products, system design, analysis tools, and methodology services.
  • Key Products:
  • IC Design Products: Tools for custom, analog, mixed-signal, RF, and digital IC design and verification
  • System Design and Analysis: Solutions for PCB design, IC packaging, and system analysis
  • IP Solutions: Offers verified, customizable IP blocks and verification IP
  • Design Services: Methodology, education, and hosted design solutions with technical support
  • Tensilica DSPs: IP for audio, vision, AI, communications, radar, and automotive applications.
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Revenue growth
Median
15.7%
2025E
16.0%
2026E
EBITDA margin
Median
28.2%
2025E
28.6%
2026E
Cash EBITDA margin
Median
27.6%
2025E
28.0%
2026E
EV/Revenue
Median
8.4x
2025E
6.8x
2026E
EV/EBITDA
Median
28.9x
2025E
24.4x
2026E
EV/Cash EBITDA
Median
29.0x
2025E
25.5x
2026E
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4.3 - M&A Transactions in the Semiconductor Electronic Design Automation Software sector

Selected M&A transactions

Date Target Description Buyer(s) Relevance EV EV/Revenue EV/EBITDA
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Frequently Asked Questions

Buyers & Acquirers in Semiconductor Electronic Design Automation Software sector

Who are the top strategic acquirers of Semiconductor Electronic Design Automation Software companies?

Top strategic buyers in this sector include Synopsys, a provider of electronic design automation tools, silicon-proven semiconductor ip, hardware-assisted verification solutions, and professional design services that support end-to-end chip and system development, including on-demand cloud access to eda software. .

Which buyer groups are most relevant for Semiconductor Electronic Design Automation Software companies?

Relevant strategic buyer groups similar to the Semiconductor Electronic Design Automation Software sector include IP Cores because they share similar customer segments and product capabilities.

Financial Investors in Semiconductor Electronic Design Automation Software sector

Which are the top PE firms investing in Semiconductor Electronic Design Automation Software companies?

Potential investors in the broader Semiconductor Electronic Design Automation Software space include Summit Partners and TPG.

Who are the top buyout funds acquiring Semiconductor Electronic Design Automation Software companies?

Active PE funds and buyout funds acquiring companies in the Semiconductor Electronic Design Automation Software space include TPG.

Who are the top growth equity funds investing in Semiconductor Electronic Design Automation Software companies?

Growth funds investing in the broader Semiconductor Electronic Design Automation Software sector include Summit Partners.

Valuation of Companies in Semiconductor Electronic Design Automation Software sector

Which are the key public companies that are relevant trading comps for Semiconductor Electronic Design Automation Software companies?

Key trading comparable groups include Cadence Design Systems, a provider of software, hardware, and intellectual property for the design and verification of advanced semiconductors and electronic systems, offering custom ic design, simulation products, system design, analysis tools, and methodology services..

Which are the key trading comparable groups for Semiconductor Electronic Design Automation Software companies?

Similar trading comparable companies include CAD and PLM Software Companies. Our platform tracks detailed trading comparable groups in the Semiconductor Electronic Design Automation Software sector with complete valuation multiples, growth metrics, and profitability data. Access the full database to benchmark your company against relevant public comparables.

What are recent M&A transactions in the Semiconductor Electronic Design Automation Software sector?

Our platform tracks M&A transactions in the Semiconductor Electronic Design Automation Software sector with complete deal terms, valuation multiples, and strategic rationale. Access the full database to benchmark pricing and identify active acquirers.

What are recent capital raises and funding rounds in Semiconductor Electronic Design Automation Software?

Access recent funding rounds in the Semiconductor Electronic Design Automation Software sector including growth equity, venture capital, and buyout investments. Our database includes round size, lead investors, valuations, and use of proceeds.

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