Synopsys delivered a 65% year-over-year increase in first-quarter revenues, led by robust licensing and subscription sales across its EDA and Silicon Lifecycle Management segments. This surge reflects heightened customer spending on advanced design software as the semiconductor industry accelerates AI-chip development.

The boom in AI chip design has driven record uptake of Synopsys’ AI-optimized EDA solutions, with major chipmakers deploying its analysis, synthesis and verification tools to meet complex model requirements. Increased demand for cloud-based and on-premise offerings contributed to higher perpetual license renewals and new subscription deals.

Following its integration of Ansys’ electronic design automation assets, Synopsys has bolstered its simulation portfolio to offer end-to-end chip validation services. The combined platform aims to cross-sell simulation and EDA tools, expanding Synopsys’ total addressable market and reinforcing long-term recurring revenue streams.