The EDA Consortium (EDAC) announced that the electronic design automation (EDA) industry revenue for Q4 2008 declined 17.7 percent to $1318.7 million, compared to $1602.7 million in Q4 2007. The four-quarter moving average declined 9.4 percent. Note that revenue numbers which include Q1 and Q2 2008 reflect a restatement of those numbers. Companies that were tracked employed 27,311 professionals in Q4 2008, down 0.9 percent from the 27,562 employed in Q4 2007, and down 3.1 percent from the 28,176 employed in Q3, 2008.

Revenue by Product Category

Computer Aided Engineering (CAE), EDA’s largest category, generated revenue of $501.8 million in Q4 2008. This represents a 24.4 percent decrease over the same period in 2007. The four-quarter moving average for CAE declined 12.3 percent, including the impact of the Q1 and Q2 2008 restatement. In the next largest category, IC Physical Design & Verification, revenue decreased to $296.5 million in Q4 2008, a 32.7 percent decrease compared to Q4 2007. The four-quarter moving average declined 22.5 percent for IC Physical Design & Verification.

Printed Circuit Board and Multi-Chip Module (PCB & MCM) revenue decreased 11.6 percent compared to Q4 2007, to $135.9 million. The four-quarter moving average for PCB & MCM increased 0.4 percent. Semiconductor Intellectual Property (SIP) revenue totaled $285.5 million in Q4 2008, a 7.6 percent increase over Q4 2007. The four-quarter moving average for SIP increased 2.3 percent. Services revenue was $98.9 million in Q4 2008, up 24.5 percent from Q4 2007. The four-quarter moving average for services was up 19 percent.

Revenue by Consuming Region

North America, EDA’s largest region, purchased $569.1 million of EDA products and services in Q4 2008, which represents a 22.7 percent decrease compared to Q4 2007. The four quarter moving average was down 14.8 percent for North America. Western Europe revenue was down 8.4 percent in Q4 2008 compared to Q4 2007, with revenues of $290.3 million.

The four quarter moving average for Western Europe was down 1.2 percent. Q4 2008 revenue from Japan decreased 17.3 percent to $261.3 million compared to Q4 2007. The four quarter moving average for Japan decreased 5.8 percent. Rest-of-World (ROW) decreased to $197.9 million in Q4 2008, a 15.4 percent decrease compared to the same quarter in 2007. The four quarter moving average declined 7.9 percent.