Industry Expert Blogs
Design IP Revenue Grew 5.2% in 2019, Good News in Declining Semi MarketSemiWiki - Eric Esteve, IPnestApr. 20, 2020 |
Good news is good to hear, particularly these days! The behavior of the Design IP market in 2019 is extremely positive, when the semiconductor market has seen a decline worst than in 2009 (economy crisis) or 2001 (internet bubble collapse). Analysis this 5.2% growth in detail will help to understand the future of the IP market, as we think this market exit a decade based on smartphone explosion fueling the IP growth, to enter in the 2020 decade we expect to be data centric. But let’s have a look at the main trends shaking the Design IP in 2019.
ARM is still a solid #1, with more than 40% market share… but ARM is staying flat year over year. If we dig, we find that ARM license revenues have grown by 13.8% when royalty revenues have declined by 6%. ARM assign this lose in royalty to the smartphone volume decline and it make sense, considering ARM penetration in CPU and GPU IP in wireless phone.