Synopsys, Inc.

  • Overview
To sum up, Synopsys is a leading provider of electronic design automation (EDA) software and services. Its products are used by designers of integrated circuits (ICs) to develop, simulate, and test the physical design of ICs before production, and then to test finished products. The company also provides semiconductor intellectual property (SIP), pre-designed circuits used as part of larger chips. Customers come from a variety of markets, but particularly the semiconductor and electronics manufacturing industries. Synopsys offers time-based software licenses, where customers make yearly payments for use and support. It generates about half its sales outside the US.

Geographic Reach

The company has offices across the Americas, Asia, Australia, and Europe. The US represents Synopsys' largest market, accounting for nearly half of sales. Japan and Europe contributed 16% and 13%, respectively. All regions reported year-over-year growth.

Sales and Marketing

Synopsys markets its products primarily through direct sales efforts in the US and in select international markets.

Financial Analysis

The company's revenue rose 14% in fiscal 2012 (ended October) to $1.8 billion. Synopsys saw growth in all areas of its business, but results were driven primarily by time-based license revenue, which jumped 15% year-over-year due to acquisitions and an extra week in the 2012 fiscal year. Net income that year was down 18% to $182 million as expenses outpaced sales due to acquisition-related personnel costs.

Mergers and Acquisitions

Synopsys has used acquisitions to expand its product lines. It bought ExpertIO in 2012 to strengthen the delivery of its line of verification IP with a new collection of storage protocols. Also that year it acquired RSoft Design, a provider of software used for design, optimization, and simulation in telecommunications components, systems, and networks. The purchase strengthened its position in the optical and photonics sectors, as well as complementing its products that perform functions such as optical waveguide modeling. It followed that purchase with the acquisition of Ciranova, adding EDA technology used to cut the time required to design transistor-level layouts for nanometer-scale and other advanced nodes. Additionally, Synopsys paid $406 million to buy Taiwan-based SpringSoft, a developer of IC design software, to extend the functionality of its products, particularly in the areas of verification and custom implementation.

In 2011 Synopsys bought nSys Design Systems as part of an effort to address the system-on-a-chip (SoCs) verification market. Also that year the company acquired Extreme DA, a maker of software used to improve circuit design performance, power consumption, and manufacturing output. It also agreed to buy Magma Design Automation, completing the deal the following year for more than $520 million. That purchase helps Synopsys meet increasing electronic design automation demands in the marketplace.


Mutual fund manager Dodge & Cox owns nearly 15% of the company.

▲ Show Less▼ Show Full Description

Company News and Press Releases

▲ Show Less▼ Show More News and Press Releases

Synopsys, Inc.

700 E Middlefield Rd
Mountain View, CA 94043-4033
Phone: 1 (650) 584-5000
Fax: 1 (650) 9658637


  • Employer Type: Public
  • Stock Symbol: SNPS,
  • Stock Exchange: , NASDAQ
  • Chairman and Co-CEO: Aart de Geus
  • President and Co-CEO: Chi-Foon Chan
  • Chairman and Co-CEO: Aart de Geus

Major Office Locations

  • Mountain View, CA
  • San Francisco, CA