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And then there were three…

Mentor now moves into the P&R world with the $90M acquisition of its partner Sierra Design, providing a competitive RTL-to-GDSII flow. Sierra brings a lithography-driven place and route tools aimed at 65 and 45nm designs. This acquisition should add further breadth to Mentor’s DFM flow. Here’s the press release: http://www.mentor.com/company/news/acquiresierradesignautomationdesigntofabflow6545nanometers.cfm

How does this change the EDA space? Instead of just two, now there are 3 significant players providing complete chip design (including P&R) flows. Some experts believe that this acquisition will increase the market’s low-growth potential, ultimately locking customers into of the three big vendor product flows. We shall see.

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