Electronic Design Automation market projected to reach $35.3 billion by 2032

The global Electronic Design Automation (EDA) market is projected to reach $35.3 billion by 2032, growing from $15.8 billion in 2023. According to research from Astute Analytica, the sector is expected to expand at a compound annual growth rate (CAGR) of 9.75% between 2024 and 2032.

This growth is primarily driven by the increasing complexity of semiconductor design. As engineers attempt to integrate more transistors into smaller areas, the reliance on EDA software for simulation, verification, and optimization becomes critical. The rise of AI processors, high-performance computing, data centers, and advanced telecommunications is further accelerating demand.

Key growth drivers include the integration of AI into the design process itself to improve productivity and the expansion of semiconductor use in the automotive, IoT, and 5G sectors. Major industry players include Cadence Design Systems, Synopsys, Inc., Siemens, Autodesk, Inc., and Keysight Technologies, Inc.