A new report released Tuesday by market research firm Reportlinker said the outlook for the electronic design automation market will be robust over the next nine years, stating that its value will reach $28.27 billion by 2027.
Reportlinker said the 2018 market grew by an estimated $10.31 billion and will grow at a CAGR of 12.0% from 2019 to 2027.
"Electronic design automation (EDA) software comprises of multiple tools and applications. Integrating these tools according to the customers' demand sometimes becomes a complicated job," the report stated. "The complex requirements of the end-users regarding highly stable and accurate product positioning is addressed with the help of EDA. Rising complexities and cost challenges faced by the industries for implementation of expensive complex designs is key influencer driving the electronic design automation market."
Reportlinker said a key trend that will predominantly affect the EDA market in coming years is machine learning in EDA software, which will gain significant momentum, as consumers progressively aspire to have solutions with high performance, low power needs, and decreased design cycle time.
"This evolution in the EDA software is also expected to meet the unfulfilled need for methods, models, and tools that would allow faster and more accurate design and verification of microelectronic systems and circuits," the report said. "A behavioral approach, lately, has been discovered to be able to achieve these goals."
The report adds that machine learning to the EDA tools business is having a major impact as the technology is expected to cut design costs by enabling the tools to provide solutions to common issues, which otherwise could take longer for design teams to do manually. Along with cutting costs, machine learning in EDA can lead to more novel designs and more semiconductor chips from vendors.
