Are all these ACQUISITIONS good or bad for the future of EDA, and for EDA-Careers????

Are all these ACQUISITIONS good or bad for the future of EDA, and for EDA-Careers???? I think not, and here is a spin you will not read anywhere else!

The question is fair being that this year there has already been three significant M&A's (Mergers and Acquisitions) so far. In my humble opinion, the most significant news was from both ANSOFT and NOVAS. Think about it…none of the big three acquired them. This in fact was actually great news, as it gives new hope to the start-up community by saying that there are significant alternate possibilities and options. Options that are other than Synopsys and Cadence!

There have been other positive signs as well. I was very happy to see Apache acquire Optimal last year, and I hope that kind of thinking will continue for them, and even permeate throughout EDA. Aside from just M&As, more EDA companies are partnering with each other to offer a broader more comprehensive solution. I would like that trend to continue, and see more of the smaller companies join forces with each other to show even more strength and viable options. This is the one of the best ways to offer real competition, and make themselves more valuable to their customers, and ultimately to their employees (shareholders). The more strength in start-ups, the more start-ups will emerge and even prevail, and that is the single biggest key to EDA surviving and expanding. Cadence and Synopsys have to stop being the only option for a successful exit strategy. We know now, as we just saw, there are alternatives. EDA companies just need to make them happen!

All the companies that were acquired have been in business for many many years. They ran a business like a business, and like I have said before in this column, running a successful business on sound business practices still makes sense. Lots of start-ups are running their company soundly and are making money. And for the most part, the people working there are happy. Start-ups can survive and be healthy on their own merit!

So the broader question is, how will this relate to those of you considering new start-up opportunities, or for people who want to either continue with start-ups, or move out of the big boys, and join the start-ups. Be crystal clear, those that know, KNOW that Start- ups are still a very viable option, MAKE NO MISTAKE ABOUT THAT! They still offer innovation and opportunity. They still give engineers the best road map to being a part of something from the bottom up, as all are involved in the ultimate success of the company. They are still the way for you to be the big fish in the small pond, rather than number 2481 at some big company.

DAC is coming up soon. Think about this… Cadence does not even respect the industry enough to support it by participating in the 45th annual DAC Conference. That alone shows why start-ups are so important. But I will talk more about that in my DAC column, in the meantime, know that while we lost a few, but also know the way we lost them is the best news that EDA could have heard. It means that the roadmap now has more possibilities, more exits, and that EDA has real significant perceived value.


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