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Tuesday, 19 January 2016

Global EDA market in industrial electronics to grow at a CAGR of over 6% during the forecast period

Market outlook for EDA in industrial electronics

Growing complexities in the electronics industry drives the demand for EDA in the industrial electronic sector. Technavios market research analysts predict the global EDA market in industrial electronics to grow at a CAGR of over 6% during the forecast period.

Safety and performance issues in the electronics industry have increased to such a degree that virtual verification of designs has become an inevitable part of chip manufacturing. The verification process involves testing of electrical and electronic components in various temperature and pressure conditions. Therefore, with the help of EDA software several vendors are able to identify design errors, and the simulation process helps them in understanding their ability to withstand harsh environments and so on.

Research scope and segmentation of the market
To calculate the market size, analysts have considered the following instruments/equipment within the industrial electronics sector:
Semiconductor equipment
Process control equipment
Environment control instrument
Test and measurement system
Automation system
Robotic instrumentation

Revenues calculated from software licenses are classified into three categories:
Term license: A term license grants the end-user access to all products based on an agreement which is generally for two to three years with no return policy.
Subscription license: A subscription license allows end-users to access all specified products as well as unspecified products that become commercially available during the agreement term. It also includes products that are value added in the license package.

Perpetual license: A perpetual license is a one-time investment after which the software can be used indefinitely. It has no return policy and no provision for availability of value addition to the existing product. Maintenance service is purchased separately.

Vendor landscape of the global EDA market in industrial electronics
The vendors in the global EDA market in industrial electronics are facing an acute price competition and a growing threat from new entrants. The market in the industrial electronics sector is not a capital intensive one, rather it is a labor intensive market. The market demands the presence of EDA expert professionals in large volumes. It is dominated by major players such as Cadence Design, Synopsis, and Mentor graphics. With their extensive capital and marketing resources, these three companies have intensified the competition in this market.

The other prominent vendors of this market include: -
Keysight Technologies

Geographical segmentation of the global EDA in industrial automation market

The APAC accounted for the second largest share in the market with 34.80% in 2014. With several initiatives undertaken by governments of several countries in the APAC to boost the electronics industry, the region is expected to witness the highest CAGR during the forecast period.

Key questions answered in the report
What are the key factors driving the global EDA market in industrial electronics?
What are the key market trends impacting the growth of the global EDA market in industrial electronics?
What are the various opportunities and threats faced by the vendors in the global EDA market in industrial electronics?
Trending factors influencing the market shares for the global EDA market in industrial electronics?
Market shares for APAC, Americas, and EMEA?
Key outcome of the five forces analysis on the global EDA market in industrial electronics?
Growth forecast of the global EDA market in industrial electronics?

Technavio also offers customization on reports based on specific client requirement.

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Global Automated Test Equipment Market 2015-2019

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