Cadence Design System’s Revenue by Product Group (2016-2023)

This statistic highlights Cadence Design System’s Revenue by Product Group, split across Digital IC Design & Signoff, Custom IC Design, Functional Verification, IP, and System Interconnect & Analysis.

Cadence Design System’s Revenue by Product Group

(All figures in millions, except percentages)

The total revenue of Cadence Design Systems increased from $666.6 million to $750.9 million, from Q3 2020 to Q3 2021, marking a 12.6% growth in revenue in a year. The revenue also grew from $728.3 million to $750.9 million, from Q2 2021 to Q3 2021, leading to a 3% growth in revenue in a quarter.

Digital IC Design & Signoff

These products are used to create logical representations of digital circuits. After verifying the logic, design representation is implemented. This technology provides full flow to achieve PPA in logic design, signoff as well as physical implementation.

The total revenue from this product group increased from $180 million in Q3 2020 to $217.8 million in Q3 2021, marking a growth of 21% in revenue in just a year. The revenue also grew by $13.9 million from Q2 2021 to Q3 2021 representing a 6.8% growth in revenue in a quarter. Overall, this product group had the highest share of 29% in the company’s total revenue in Q3 2021.

Custom IC Design

This group delivers products that enable its customers to create physical representations of circuits for various analog, memory and digital designs. These are then verified using simulation tools. These products are also used to prepare the designs for manufacturing purposes.

This group of products had a 23% share in the company’s total revenue in Q3 2021. The revenue grew by $12.7 million from Q3 2020 to Q3 2021, marking an 8% growth in revenue in a year. There was also a quarterly growth of approximately 3% in revenue in Q3 2021 as compared to Q2 2021.

Functional Verification (Including Emulation & Prototyping Hardware)

These products are used by the customers to verify their software’s consistency with the functional specification. It is done throughout the design process to fully identify any functional problems and reduce the risk of discovering a costly error at a later stage.

The total revenue from this product group increased from $153.3 million to $172.7 million, marking a yearly growth of approximately 12.7% from Q3 2020 to Q3 2021. On the contrary, the revenue fell by $9.4 million in Q3 2021 when compared to Q2 2021, leading to a 5.2% fall in revenue on a quarterly basis. This product category had a share of 23% in the company’s revenue in Q3 2021.

IP

It includes pre-verified and customizable functional blocks which are integrated by the customers in their IC to accelerate the process and reduce the risk of errors in design. The company offers a wide range of IPs including Tensilica which is primarily targeted for AIs and voice/video-based interfaces.

The total revenue from this product group increased by $5.1 million, from Q3 2020 to Q3 2021, leading to a 5% growth in revenue in a year. The revenue also grew by $10.4 million from Q2 2021 to Q3 2021, marking a quarterly growth of approximately 11% in the revenue. Overall, these products had a share of 14% in the company’s total revenue in Q3 2021.

System Interconnect & Analysis

It helps customers to develop PCBs, ICs, and to analyze electro-thermal and other multi-physics effects. The evolution of the company’s PCBs is driven by the need for compact, high-performance automotive designs with advanced serial interconnect.

This product group had the least share of 11% in the company’s Q3 2021 revenue. The revenue grew by $9.3 million, representing a yearly growth of about 12.7% from Q3 2020 to Q3 2021. The revenue also grew by $2.5 million from Q2 2021 to Q3 2021, marking a quarterly growth of about 3% in the company’s revenue.

About Cadence Design Systems Inc

Cadence is a software expert and leader in electronic designs for more than 30 years. The company has many innovative customers including firms that operate in dynamic markets like 5G communications, defense, aerospace, and healthcare industries.

The company is known to provide solutions that enable its customers to draft complex as well as innovative electrical products. It gives a competitive edge in their integrated circuits, system-on-chip to their customers. All their devices and systems have optimizing performance, minimum power consumption, improved productivity, and it also reduces their designing and manufacturing costs too. It includes products such as software products, hardware, software, reusable IP design blocks, and also provides maintenance for the same.

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