You are currently viewing SemiWiki as a guest which gives you limited access to the site. To view blog comments and experience other SemiWiki features you must be a registered member. Registration is fast, simple, and absolutely free so please, join our community today!

Page 1 of 5 123 ... LastLast
Results 1 to 10 of 44

Thread: Synopsys Acquires Magma!?!?!?

  1. #1
    Admin Daniel Nenni's Avatar
    Join Date
    Aug 2010
    Location
    Silicon Valley
    Posts
    2,055

    Synopsys Acquires Magma!?!?!?

    In a move to keep Mentor at bay? Much needed excitement for EDA but further consolidation gives Synopsys an even bigger lead over Cadence?

    What does this acquisition REALLY mean for the semiconductor design ecosystem?




    Synopsys to Acquire Magma Design Automation
    Acquisition will complement Synopsys' technology, build on existing support capabilities and help accelerate advanced product delivery to customers

    MOUNTAIN VIEW, Calif., Nov. 30, 2011 /PRNewswire/ -- Synopsys, Inc. (Nasdaq:SNPS), a world leader in software and IP used in the design, verification and manufacture of electronic components and systems, has signed a definitive agreement to acquire Magma® Design Automation Inc. (Nasdaq:LAVA), a provider of chip design software headquartered in San Jose, California. Bringing together complementary technology, development and support capabilities will enable the combined company to more rapidly meet customer requirements linked to chip designs at both leading-edge and mature process nodes

    Under the terms of the merger agreement, Synopsys will acquire Magma for $7.35 per Magma share in cash, resulting in a transaction value of approximately $507 million net of cash and debt acquired. The boards of directors of both companies have unanimously approved the transaction.

    The closing of the merger is subject to customary conditions, including approval by the stockholders of Magma as well as U.S. regulators. In the event the merger closes as expected in the second calendar quarter of 2012, Synopsys anticipates it to be modestly accretive to non-GAAP earnings per share in its fiscal 2012. Synopsys plans to fund the acquisition with a combination of cash and debt, with the specifics to be determined at the time of close.

    "The dramatic rise in complexity of today's semiconductor designs for all process nodes requires an equally dramatic increase in designer productivity. Customers are either dealing with the very complex physics of 20-nanometer design or they are squeezing the last bit of performance and cost from designs at mature, high-value nodes. To achieve success, our customers are asking for more new EDA capabilities than ever before," said Aart de Geus, chairman and CEO at Synopsys. "This acquisition will enable Synopsys to accelerate the delivery of the technology our customers need to keep the overall cost of design in check."


    Magma Acquisition by Synopsys to Provide Customers With State-of-the-Art Mixed-Signal, Digital and Analog Design Solutions That Enable More Profitable Silicon

    SAN JOSE, Calif., Nov. 30, 2011 (GLOBE NEWSWIRE) -- Magma Design Automation Inc. (Nasdaq:LAVA), a provider of chip design software, today announced the company has entered into a definitive agreement to be acquired by Synopsys (Nasdaq:SNPS), a world leader in software and IP used in the design, verification and manufacture of electronic components and systems headquartered in Mountain View, Calif. The combination of the two companies' technologies, development capabilities, support teams and sales channels will provide chip designers with greater access to state-of-the art electronic design automation (EDA) solutions that enable more profitable silicon.

    Under the terms of the merger agreement, Synopsys will acquire Magma for $7.35 per Magma share in cash, resulting in a transaction value of approximately $507 million net of cash and debt acquired. The closing of the merger is subject to customary conditions, including approval by Magma stockholders as well as U.S. regulators.
    "Magma and Synopsys have always shared a common goal of enabling chip designers to improve performance, area and power while reducing turnaround time and costs on complex ICs," said Rajeev Madhavan, CEO of Magma. "By joining forces now we can ensure that chip designers have access to the advanced technology they need for silicon success at 28, 20 nanometer and below."
    Last edited by Daniel Nenni; 11-30-2011 at 03:23 PM.

  2. #2
    Blogger Daniel Payne's Avatar
    Join Date
    Sep 2010
    Location
    Tualatin, OR
    Posts
    1,946

    Acquisition issues

    Interesting acquisition however I see issues with the sizable amount of product overlap:

    ProductSynopsysMagma
    SPICEHSPICEFineSim SPICE
    Fast SPICECustomSimFineSim Pro
    IC LayoutCustom Designer LETitan Mixed-Signal Design Platform
    IC SchematicCustom Designer SETitan
    SDLCustom Designer SDLTitan
    Static TimingPrimeTimeTekton
    Logic SynthesisDC UltraTalus RTL,
    Talus Design
    Physical VerificationIC Validator,
    Hercules
    Talus qDRC,
    Quartz DRC,
    Quartz LVS
    ExtractionStarRCQCP
    Place and RouteIC CompilerTalus Vortex
    Library CharacterizationLiberty NCXSiliconSmart

    The best EDA mergers in the past have been those with little to no product overlap. If I am a Magma or Synopsys customer then I want to know which products live, which products die, and which product lines merge into something new.

    Competitors to Magma and Synopsys will have a certain period of time where FUD will help them attract nervous EDA users.
    Daniel Payne, EDA Consultant
    www.MarketingEDA.com
    503.806.1662

  3. #3
    Blogger Daniel Payne's Avatar
    Join Date
    Sep 2010
    Location
    Tualatin, OR
    Posts
    1,946
    FYI the SEC filing 14a.
    Daniel Payne, EDA Consultant
    www.MarketingEDA.com
    503.806.1662

  4. #4
    Top Influencer LinkedIn's Avatar
    Join Date
    Jul 2011
    Posts
    1,978
    And that's after so many leading bloggers forecasted that MENT will buy them...
    The Irony

    I do wonder how all of this will shake out what with the big overlap in product lines
    Posted by Yaron

  5. #5
    Top Influencer LinkedIn's Avatar
    Join Date
    Jul 2011
    Posts
    1,978
    Larry Edwards I hope the next generation of EDA technology comes from newer smaller startups, not from consolidation by large EDA companies

  6. #6
    Blogger Paul McLellan's Avatar
    Join Date
    Sep 2010
    Posts
    1,228
    So Synopsys announced today that it has signed an agreement to acquire Magma. There will be a regulatory delay etc before it finally closes.

    So why did they do it? Despite Magma being thought of as a place and route company, they have two other product that are perhaps more significant for Synopsys: FineSim and Tekton.

    FineSim, Magma's circuit simulator, has been eating Synopsys's lunch. According to their financial filings they have lost about $50-70M in the fast Spice market, some to Berkeley Design Automation but also a lot to FineSim. I've heard, but I've not seen any definitive data anywhere, that FineSim is actually a bigger business for Magma than place and route. It also has a lot of momentum and the market is less fragmented, especially for digital and memory circuit simulation where FineSim is strong. It is less strong in the analog markets since they don't have an environment of their own.

    Tekton is Magma's static timing analyzer. Earlier this week Magma announced that 25 companies have adopted Tekton, the fastest rate of adoption for any product in Magma's history (it has been out for a about 18 months). It seems to be a real threat to PrimeTime's dominance of the signoff timing space. My guess is that the Tekton technology will be slotted under the hood of PrimeTime and it will continue to be called PrimeTime.

    In place and route it is hard to know what will happen. Synopsys are supposedly internally developing a new router and Magma's place and route may fit in with that.

    The other major product area is analog design and custom layout. Synopsys and Magma (along with Springsoft and others) are all competing against the Cadence Virtuoso franchise and the proprietary SKILL language that gives it a lot of lock in (especially since Virtuoso has been tweaked to not accept non-SKILL Pcells under some circumstances).

    Funnily enough I was at Synopsys all morning when this was going on, at the interoperability conference. Aart appeared on video. Now we know one reason he had some other stuff on his plate today!

  7. #7
    Top Influencer
    Join Date
    Jan 2011
    Location
    UK
    Posts
    126
    This will really blow cadence and mentor out of the water in the next few years ... how can cadence/mentor compete with these two giants ?!

    time to re-think tools (or get some really cheap deals from mentor and cadence!)

    it won't be long before Synopsys buys Calibre, then they will be complete !

  8. #8
    Member
    Join Date
    Aug 2011
    Posts
    1
    Could this lead to a Cadence buys Mentor deal ?

  9. #9
    Top Influencer
    Join Date
    Feb 2011
    Posts
    141
    Am I the only person who is concerned about the combination of consolidation into Synopsys with their business model?
    (The last time we had EDA domination it led to a kind of stagnation for well over 10 years; could this time be worse?)

  10. #10
    Top Influencer
    Join Date
    Jan 2011
    Location
    UK
    Posts
    126
    no point ... the only thing of significant value from mentor is calibre ...

    even after that, they still cannot compete with the synopsys-magma giant.

    time to spin out calibre ?

Page 1 of 5 123 ... LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •