Electronic System Design Industry Logs $4.4 Billion in Revenue in Q4 2023

Kudos all around our industry as it continues to report strong revenue growth!

According to the Electronic Design Market Data (EDMD) report, the Electronic System Design (ESD) industry revenue increased 14% to $4,423 million in the fourth quarter of 2023 from the $3,879.9 million logged in the third quarter of 2023. The four-quarter moving average comparing the most recent four quarters to the prior four increased 14.1%.

Our industry’s hiring. Companies tracked employed 60,106 people globally in Q4 2023, an 8.9% jump over the Q4 2022 headcount of 55,192 and up 0.6% compared to Q3 2023.

Collectively, the Computer-Aided Engineering, Printed Circuit Board and Multi-Chip Module, Semiconductor Intellectual Property and Services categories reported double-digit growth. Let’s dig further.

• Computer-Aided Engineering (CAE) revenue increased 19.5% to $1,512.1 million as the four-quarter CAE moving average rose 19.3%.
• IC Physical Design and Verification revenue declined 1% to $691.5 million, though the four-quarter moving average grew 20%.
• Printed Circuit Board and Multi-Chip Module (PCB and MCM) revenue soared 21% to $410.8 million as the four-quarter moving average for PCB and MCM rose 18.9%.
• Semiconductor Intellectual Property (SIP) revenue grew 13.7% to $1,632.4 million. The four-quarter SIP moving average rose 5.9%.
• Services revenue jumped 25.4% to $176.2 million. The four-quarter Services moving average rose 10.8%.

All geographic regions reported substantial growth, another positive sign.

• The largest reporting region by revenue is Americas and it procured $1,921 million of electronic system design products and services in Q4 2023, an 11.9% increase, with the four-quarter moving average rising 11.6%.
• Europe, Middle East, and Africa (EMEA) acquired $608.2 million of electronic system design products and services in Q4 2023, a 20.5% increase. The four-quarter moving average grew 17.8%.
• Japan’s procurement of electronic system design products and services grew 8.3% to $262 million. The four-quarter moving average expanded 9.4%.
• Asia Pacific (APAC) gained $1,631.8 million of electronic system design products and services in Q4 2023, a 15.2% increase as the four-quarter moving average for APAC grew 16.7%.

About the EDMD Report

The Electronic Design Market Data report presents Electronic Design Automation (EDA), SIP and services industry revenue data quarterly. Public and private companies contribute data to the quarterly EDMD report available from SEMI and produced by the ESD Alliance. For information about SEMI market research reports, visit the SEMI Market Research Reports and Databases Catalog.

Reminder: CEO Executive Outlook Set for May 9

A reminder that our annual in-person CEO Executive Outlook co-hosted with Keysight Technologies will be held Thursday, May 9. And just like this week’s solar eclipse, you won’t want to miss it!

Calista Redmond, CEO of RISC-V International, and Patrick Little, CEO of SiFive, a RISC-V IP provider, kick-off the program by addressing the evolving RISC-V movement and its effect on the semiconductor design ecosystem.

A panel of executives moderated by Bob Smith, ESD Alliance Executive Director, will follow. Panelists will consider the state of the electronic system design industry and the outlook for the future. They include:

• Dave Kelf, CEO of Breker Verification Systems
• Aki Fujimura, CEO from D2S and a member of the ESD Alliance Governing Council
• Niels Fache, Keysight’s VP and GM, Design and Simulation, and a member of the ESD Alliance Governing Council
• John Kibarian, CEO of PDF Solutions and a member of the ESD Alliance Governing Council
• Prakash Narain, CEO at Real Intent and a member of the ESD Alliance Governing Council

Courtesy Paul Cohen

Keysight will host the event that begins at 5:30 p.m. P.D.T with networking, dinner and beverages. The program starts at 6:45 p.m. and is open to ESD Alliance and SEMI members at a cost of $25. Pricing for non-members is $50 per person. Click here to register.

We look forward to seeing you May 9 at Keysight. And you won’t need your solar eclipse viewing glasses!

Keysight

5301 Stevens Creek Blvd., Building 5

Santa Clara, Calif.

About the ESD Alliance

The quarterly EDMD report and events such as the upcoming CEO Executive Outlook are just two of the many programs we provide our members. The ESD Alliance, a SEMI Technology Community, focuses on initiatives and activities that bring value to our entire industry:

• Coordinating and amplifying the collective and regional voices of our industry.
• Continually promoting the value our industry delivers to the global semiconductor and electronics industry.
• Addressing and defending threats and reducing risks to our industry.
• Achieving efficiencies for our industry.
• Marketing the attractiveness of the design ecosystem as an ideal industry for pursuing a career.
• Enabling networking, sharing and collaboration across our industry.

Contact me at pcohen@semi.org or Bob Smith at bsmith@semi.org if you have questions or would like information about joining us.

Engage with the ESD Alliance

www.esd-alliance.org

ESD Alliance Bridging the Frontier blog

Twitter: @ESDAlliance

LinkedIn

Facebook

This entry was posted on Tuesday, April 9th, 2024 at 9:32 am. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.