logo-virageThis month Virage adds 160 staff from NXP and last month they acquired ARC, another IP provider.

The NXP deal makes sense to me because Virage also receives some design services business to pay for all that new staff.

It seems like the IP business should be a product business where you can sell a qualified logic or memory block multiple times, but I hear that in many cases it becomes a design services business as each client wants some customization to differentiate themselves. If there are economies of scale then adding staff is the right direction to head for Virage.

Virage stock like most of EDA and high tech have been booming since March 2009, so let’s see if they can recover to the 8’s from two years ago.