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Semiconductor IP market- Market Leadership Article – ARM, Synopsys and Imagination Technologies

The semiconductor IP market is expanding at a tremendous growth rate both in terms of market size and popularity worldwide mainly because of large scale adoption of third party silicon IP cores in diverse application sectors such as computer and peripherals, mobiles and tablets, telecom infrastructure and networking technologies, automotive, aerospace, and defense. In the past few decades, the semiconductor IP market’s value chain has grown to encompass a vast network of players involved in various segments. There have been tremendous changes in the landscape of the semiconductor IP industry’s ecosystem with several developments in market segments such as open source IP vendors, IP core developers, IP aggregators, IP licensing vendors, and IP Customers including fab, fabless, foundry, and IDM players. The Semiconductor IP Market is growing in both the Integrated Circuit (IC) IP and System-on-Chip (SoC) IP sub-sectors.

In the present time, ARM (U.K.), Synopsys (U.S.), and Imagination Technologies (U.K.) are the three major market leaders contributing the largest market share in the semiconductor IP market space. Their market leadership is mainly dedicated to their high expertise, innovative business models, strong financial muscle, broad product portfolio, high R&D investment, and global market reach. Some of the other major players with considerable market share in the semiconductor IP market include Cadence Design Systems (U.S.), CAST (U.S.), CEVA (U.S.), Mentor Graphics (U.S.), Rambus (U.S.), and Silicon Image (U.S.).

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ARM (U.K.) was founded in 1990 and it engages in the designing of microprocessors, physical IP, and related products. The company also licenses its IP designs to the manufacturers of all types of computing devices such as real time safety systems, smart TVs, modern smart watches, smart phones, tablets, laptop, and desktops. The company had made several acquisitions to expand its product offerings and global reach, for instance, the company acquired Micrologic Solutions (U.K.), Allant Software (U.S.), Infinite Designs (U.K), EuroMIPS (France), KEIL Software, and Panta family of high resolution display processer and scaling coprocessor IP cores of Cadence (U.S.). ARM has offices across the world including Taiwan, France, India, Germany, Sweden, and the U.S.

New Revenue Pockets Semiconductor IP Market

Hence, these are some of the major as well as emerging revenue pockets for the semiconductor IP market. For silicon IP vendors, these sectors offer tremendous market growth potential and undoubtedly significant market opportunities. Overall, it can be concluded that these industries are expected to have a huge impact on the global semiconductor IP market in the near future.

Semiconductor IP cores are being widely used in diverse application sectors with primary bases in computer and peripherals, telecom infrastructure, networking technologies, and mobiles and tablets primarily to save crucial design time and expenditure. In addition, these IP cores are rapidly penetrating into new application sectors such as automotive, industrial, medical, defense, and aerospace. It is also estimated that the semiconductor IP cores have huge growth opportunities especially in avionics, aerospace, and defense applications as these sectors are increasingly becoming dependent on highly sophisticated, complex electronic systems. The demand in the field of electronic and semiconductor hardware components is increasing and has developed a need for searching for new means in the choice of execution. There is a need for high quality semiconductor solutions with long-term life cycle. Avionics, aerospace, and defense industries are expected to be the emerging markets for semiconductor IP cores with huge growth opportunities in the next few years. Currently, the demand for such semiconductor chips in these industries is very high. The demand for highly skilled technical manufacturing procedures and fail-proof designs from suppliers is also quite high along with protracted product accessibility and support, as failure cannot be afforded in electronic systems incorporated in mission critical applications.

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In addition to the emerging markets such as aerospace and defense, the mobiles and tablets sector offers tremendous growth opportunities for semiconductor IP market. Presently, this sector is one of the major shareholders in terms of market revenue generation for the global semiconductor IP market. With the ground-breaking success of multi-core technology in the embedded computing sector of large form factor mostly in computing devices such as desktops, laptops, net books, and notebooks, the industry‘s eye is set on making it a successful transformation even in the smaller form factor devices such as smart phones, tablet PCs and other portable electronic gadgets such as wearable electronics.

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