NASDAQ · EDA design software · No.1 in 3-firm oligopoly (~31%)
Synopsys
The world's No.1 EDA company (~31% share) that, with Cadence and Siemens EDA, holds 90%+ of the market — an essential tollgate of chip design. Because every chip passes through EDA tools and IP at the design stage, fabless firms and foundries alike are customers, and that broad base is a structural strength that lowers single-customer dependence. FY2025 revenue of $7.05B (+15%) was driven by a surge in AI-chip design, and the closed Ansys acquisition extends it into simulation and multiphysics, widening the design-and-verification stack — Intel has been its largest customer for over two decades.
SNPS Updated Jul 12, 2026 5 AI consumers· 3 recurring
Per the valuechain.wiki graph, Synopsys is directly linked to 23 companies (0 supply, 23 revenue relationships) and reaches 44 companies within two hops; the links are backed by 13 dated sources, 5 of them primary filings (as of 2026-07-12).
Financials & Segments
- Total revenue · FY2025 revenue $7.05B (+15%)
- Customer concentration · All designers and foundries; Intel largest. Oligopoly with Cadence and Siemens.
- Segments · EDA tools · IP · Simulation/multiphysics (Ansys)
Revenue from
- NVIDIA High confidence· Market share 31% · 2024 · global EDA share
A core customer of AI-chip design demand — GPUs like Blackwell are designed on Synopsys EDA and IP, and the AI-design surge is the biggest driver lifting Synopsys to No.1 in EDA (~31%).Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Marvell High confidence
Supplies EDA tools and IP to marvell. - Alchip Technologies High confidence
Supplies EDA tools and IP to alchip. - TSMC High confidence
Certified design flows with foundry leader TSMC (EDA Alliance/OIP) — advanced-node PDKs and IP must be validated in Synopsys tools before fabless customers reach mass production, the hinge of the foundry-EDA-fabless triangle.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Intel High confidence
A 20-plus-year top customer — Intel's logic processes and foundry transition are designed and verified on Synopsys EDA and IP. As nodes advance, design complexity deepens EDA dependence structurally.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Broadcom High confidence
Synopsys EDA and IP for Broadcom's custom AI silicon (ASICs) — hyperscaler custom-chip demand transmits directly into EDA design demand.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Apple High confidence
Synopsys EDA and IP for Apple's in-house silicon (A/M series) — a tool and IP demand source from one of the world's largest fabless design operations.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - AMD High confidence
AMD's CPU, GPU and AI-accelerator design depends on Synopsys EDA and IP — advanced chiplet and packaging complexity lifts tool and IP demand.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Samsung Electronics High confidence
Supplies Synopsys EDA and IP for Samsung foundry and memory design — certified advanced-node flows underpin customer designs, with new processes like GAA raising tool demand.Confirms KO Seoul Economic Daily Published Jul 1, 2025: China conditionally approves Synopsys-Ansys merger - Global Unichip Medium confidence
Supplies EDA tools/IP to GUC. - MediaTek Medium confidence
Supplies foundry, IP and EDA to MediaTek. - NXP Semiconductors Medium confidence
Supplies EDA tools and IP to nxp. - Texas Instruments Medium confidence
Supplies EDA tools and IP to texas-instruments. - STMicroelectronics Medium confidence
Supplies EDA tools and IP to stmicroelectronics. - GlobalFoundries Medium confidence
Supplies EDA tools and IP to globalfoundries. - Astera Labs Medium confidence
Supplies EDA tools and IP to astera-labs. - Renesas Electronics Medium confidence
Supplies EDA tools and IP to renesas. - United Microelectronics (UMC) Medium confidence
Supplies EDA tools and IP to umc. - Qualcomm Medium confidence
Supplies EDA design tools to Qualcomm.Confirms KO Korea Economic Daily Published Jan 7, 2026: Samsung Foundry wins Qualcomm orders, chases TSMC - Arm Holdings Medium confidence
Supplies EDA design tools to Arm Holdings. - Infineon Technologies Medium confidence
Supplies EDA tools and IP to infineon. - SMIC Medium confidence
Supplies EDA tools and IP to smic. - Credo Technology Medium confidence
Supplies EDA tools and IP to credo.
Pays to
- R&D engineers & labor (undisclosed) Medium confidence
R&D-engineer labor is the largest cost — talent is both the source of the moat and the main cost axis. - cloud & computing infrastructure (undisclosed) Low confidence
Large cloud compute for EDA and verification — infrastructure cost that grows with design scale.
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Intel | lead2 | +6.1 | -46.6 | +94.6 | -59.6 | +84 | +197.7 |
| SK hynix | lead2 | -0.4 | -25.6 | +53.9 | +48.6 | +361.1 | +140.3 |
| Fortinet | lead2 | +142 | -32 | +19.7 | +61.4 | -16 | +98.4 |
| GigaDevice | lead2 | +7.3 | -17 | -45.1 | +103.8 | +147.9 | +94.6 |
| Credo Technology | lead2 | · | · | +46.3 | +245.2 | +114.1 | +79.2 |
| Samsung Electronics | lead2 | -9 | -14.2 | +20.9 | -26.4 | +212.9 | +77.9 |
| Realtek | lead2 | +19.6 | -33.8 | +56.2 | +19.1 | -6.4 | +73.7 |
| Cambricon | lead2 | -48.7 | -21.2 | +77.1 | +420 | +120.1 | +65.9 |
| Cisco | lead2 | +45.8 | -22.5 | +9.3 | +21 | +33.5 | +59.8 |
| Montage Technology | lead2 | -18.2 | -21.8 | -18 | +51.4 | +169 | +47.4 |
| Analog Devices | lead2 | +21 | -4.9 | +23.4 | +8.8 | +29.8 | +46.7 |
| Microchip Technology | lead2 | +27.5 | -18 | +30.9 | -35 | +14.6 | +40.6 |
| Hygon | lead2 | · | · | +54.2 | +93.4 | +106.9 | +33.6 |
| Ambarella | lead2 | +121 | -59.5 | -25.5 | +18.7 | -2.6 | +9.1 |
| SpaceX | lead2 | · | · | · | · | · | +0.7 |
| Sony Semiconductor Solutions | lead2 | +27.2 | -8.4 | +27.8 | +17.9 | +1 | -2.4 |
| General Motors | lead2 | +40.8 | -42.4 | +7.9 | +49.8 | +54.2 | -3.8 |
| Phison Electronics | lead2 | +26.8 | -10.7 | +45.1 | -6.7 | +418.3 | -6 |
| Mobileye | lead2 | · | · | +23.6 | -54 | -47.6 | -8.5 |
| Will Semiconductor | lead2 | -12.1 | -49.7 | -8.3 | +22.8 | +15.5 | -14.8 |
| Toyota Motor Corporation | lead2 | +58.1 | -13.4 | +63 | +1.8 | +21.8 | -18.2 |
| Microsoft | lead2 | +52.5 | -28 | +58.2 | +12.9 | +15.6 | -20 |
| Xiaomi | lead2 | -43.9 | -21.1 | -4.6 | +209.7 | -6.9 | -27.2 |
| United Microelectronics (UMC) | lead1 | +43.2 | -40.3 | +39.2 | -19 | +28.8 | +215.1 |
| Arm Holdings | lead1 | · | · | · | +64.2 | -11.4 | +195.8 |
| STMicroelectronics | lead1 | +32.4 | -26.8 | +41.7 | -49.7 | +5.3 | +176.6 |
| Astera Labs | lead1 | · | · | · | · | +25.6 | +148.2 |
| MediaTek | lead1 | +27.8 | -26.6 | +52.9 | +58.3 | +24.9 | +124.3 |
| GlobalFoundries | lead1 | · | -17.1 | +12.5 | -29.2 | -18.6 | +97.8 |
| Renesas Electronics | lead1 | +8.2 | +2.4 | +88 | -13.6 | +23.8 | +84.9 |
| Texas Instruments | lead1 | +17.5 | -9.9 | +6.4 | +13.1 | -4.5 | +81.6 |
| Infineon Technologies | lead1 | +10.4 | -8.6 | +3.4 | -4 | +31 | +75.5 |
| Global Unichip | lead1 | +21.4 | +67.6 | +99.4 | -13.7 | +101.4 | +66.4 |
| TSMC | lead1 | +12.1 | -36.7 | +42.3 | +92.6 | +55.9 | +43.6 |
| NXP Semiconductors | lead1 | +44.8 | -29.2 | +48.4 | -8 | +6.4 | +35.8 |
| Alchip Technologies | lead1 | +14.3 | -8.7 | +365.1 | -18.9 | +0.8 | +34.7 |
| SMIC | lead1 | -29.6 | -7.4 | -18.3 | +169.9 | +98.4 | +5.6 |
| Synopsys | node | +42.1 | -13.4 | +61.3 | -5.7 | -3.2 | -5.2 |
YTD as of 2026-07-10 · source: Yahoo Finance
The No.1 (~31%) in an EDA market that it, Cadence and Siemens EDA oligopolize at 90%+ — an essential tollgate every chip must pass at the design stage. FY2025's +15% growth was driven by surging AI-chip design demand, and a customer base spanning fabless to foundry gives it structural defense through low single-customer dependence — though Intel has been the largest customer for over two decades. The Ansys deal extends it into multiphysics simulation, but geopolitical/regulatory exposure (as with China's conditional approval of the Synopsys-Ansys merger) and R&D-engineer labor costs are risks. On the graph, this node sits upstream of nearly every design node, the point where the ripple of all AI design activity converges.
Analysis generated from returns as of 2026-07-09Analyst ratings
Consensus: Buy 2 · Hold 1 · Sell 0 · Avg. target $578 · Price $445.5 (07-10) · Upside +30%
Analyses covering this node
- Target upside is a residual, not a signal: consensus writes down the chain after the fact Jul 10, 2026
- Essentiality is not sufficient for a re-rating: EDA and the missing bottleneck Jun 23, 2026