Press release
EDA Software Market Set to Expand to USD 25 Billion by 2034
Mumbai, India - December 15, 2025 - The global Electronic Design Automation (EDA) Software Market is expected to experience robust growth through 2034, fueled by increasing complexity of semiconductor design, rising adoption of advanced technologies such as artificial intelligence (AI) and machine learning (ML), and expanding demand for customized integrated circuits across multiple industries.EDA software is critical in the design, verification, and testing of electronic systems, enabling engineers to model, simulate, and optimize complex semiconductor devices and system-on-chip (SoC) solutions. These tools support efficient design workflows, reduce time-to-market, and improve reliability for next-generation electronics used in applications ranging from consumer devices to data centers.
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Market Overview
The EDA software market has shown consistent momentum as semiconductor manufacturers, fabless design firms, and integrated device manufacturers continue to push technological boundaries. The increasing shift toward 5G connectivity, edge computing, autonomous vehicles, and Internet of Things (IoT) applications is driving demand for highly specialized design automation tools capable of handling advanced process nodes and heterogeneous architectures.
Key Market Drivers
• Rising complexity of chip design due to shrinking technology nodes and multi-core architectures
• Integration of AI and ML algorithms in design workflows to improve performance and reduce errors
• Increased investment in semiconductor R&D to support emerging applications in automotive, telecommunications, and high-performance computing
• Growing use of cloud-based EDA solutions to enable collaborative design environments and scalable compute resources
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Market Segmentation
By Component:
The market includes design and verification tools, simulation and modeling software, physical design tools, and services such as training, support, and consulting.
By Application:
Key applications span hardware logic design, analog/mixed-signal design, verification and testing, system-level design, and layout and routing.
By End User:
Primary end users include semiconductor manufacturers, electronic system designers, automotive OEMs, aerospace and defense firms, and consumer electronics companies.
Regional Insights
North America leads the global EDA software market, supported by a strong semiconductor ecosystem, high R&D investment, and presence of major industry players. Europe holds a substantial share due to advanced automotive and industrial electronics sectors. The Asia-Pacific region is expected to register the fastest growth, driven by rapid expansion of semiconductor design activity, rising manufacturing capacity, and increasing adoption of smart technologies in countries such as China, India, Japan, and South Korea.
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Competitive Landscape
The EDA software market is competitive, with major technology providers and specialized firms continuously enhancing capabilities through innovation, strategic partnerships, and expansion of product portfolios. Focus areas include AI-assisted design, improved simulation accuracy, and cloud-ready platforms to support scalable design environments.
Expert Insight
"The Electronic Design Automation market is becoming increasingly vital as semiconductor complexity grows and the pace of innovation accelerates. Advanced tools that enable faster design cycles and improved accuracy are essential to meeting next-generation performance and reliability requirements," said Irfan Tamboli, Business Development Executive, Exactitude Consultancy.
This report is also available in the following languages : Japanese (EDAソフトウェア市場), Korean (EDA 소프트웨어 시장), Chinese (EDA软件市场), French (Marché des logiciels EDA), German (EDA-Softwaremarkt), and Italian (Mercato del software EDA), etc.
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About Us
Exactitude Consultancy is a market research & consulting services firm which helps its client to address their most pressing strategic and business challenges. Our market research helps clients to address critical business challenges and also helps make optimized business decisions with our fact-based research insights, market intelligence, and accurate data.
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PHONE NUMBER +1 (704) 266-3234
EMAIL ADDRESS: sales@exactitudeconsultancy.com
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