PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1808880
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1808880
Cloud EDA Market size was valued at US$ 4,152.62 Million in 2024, expanding at a CAGR of 6.80% from 2025 to 2032.
Cloud EDA (Electronic Design Automation) refers to the use of cloud computing platforms and resources to aid in the simulation, verification, design, and synthesis of electronic systems, including printed circuit boards (PCBs), integrated circuits (ICs), and electronic devices. Cloud EDAs enable design teams to access design tools, computational resources, and collaboration capabilities on-demand, regardless of their physical location, by leveraging cloud computing technology's flexibility, scalability, and accessibility. Furthermore, cloud EDA eliminates the need for a significant initial investment in IT infrastructure, software licenses, and hardware, lowering the overall cost of the design project.
Cloud EDA Market- Market Dynamics
Rising Automation Demand Fuels Growth Of Cloud Electronic Design Automation (EDA)
The growing demand for automation is expected to drive future growth in the cloud electronic design automation (EDA) market. Automation is the process of making an apparatus, a process, or a system run automatically, using machines and computers that can operate without human intervention. Automation is seeing a surge in adoption due to its potential to revolutionize productivity, streamline processes, and reduce costs across industries. Automation aids in cloud electronic design automation (EDA) by allowing the development of cloud-native EDA tools and pre-optimized hardware platforms that can function without human intervention. For instance, in June 2022, Salesforce, a US-based cloud-based software company, in collaboration with Vanson Bourne, reported that demand for automation had increased in more than 90% of companies. The survey included 600 CIOs and IT decision-makers from global enterprises, and the departments with the highest demand for automation were research and development, administrative/operations, customer service, and marketing. As a result, the growing demand for automation is propelling the cloud electronic design automation (EDA) market.
Cloud EDA Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 6.80% over the forecast period (2025-2032)
Based on product type segmentation, computer-aided engineering was leading Industry in the year 2025
Based on Industry segmentation, Healthcare is the most rapidly growing end-user category.
On the basis of region, North America was the leading revenue generator in 2025
The Global Cloud EDA Market is segmented on the basis of Product Type, Industry, and Region.
The market is divided into four categories based on product type: Computer-Aided Engineering, IC Physical Design & Verification, Printed Circuit Board and Multi-Chip Module (MCM), and Semiconductor Intellectual Property. The computer-aided engineering segment dominates the market and will account for a sizable revenue share in 2025, driven by high demand for system-level modelling, signal integrity, and thermal-electrical simulation for EVs, aerospace, and industrial automation. With the increased use of digital twins and virtual prototyping, computer-aided engineering tools continue to play an important role in design risk mitigation and time-to-market reduction. Fulfilling CAE's leadership into 2032 through innovations in AI integration and cloud scalability.
The market is divided into five categories based on Industry: Automotive, Healthcare, Telecom, Aerospace & Defense, and Others (Electronics). Healthcare is the fastest-growing end-user category, due to miniaturization and precision electronics in wearable diagnostics and telemedicine devices. The advancement of AI-enabled sensors and implantable cloud design automation tools enables rapid design and prototyping at scale while maintaining regulatory compliance. EDA in the healthcare sector will grow significantly through 2032, owing to increased regulatory approvals and medical-device innovation.
Cloud EDA Market- Geographical Insights
North America dominates the cloud EDA market in 2025, accounting for the largest share. This is primarily due to significant R&D investments, a strong presence of leading semiconductor and EDA software companies, and a dependable cloud infrastructure. The region's sophisticated technological ecosystem, early adoption of cloud computing, and growing demand for high-performance integrated circuits have made cloud-based EDA tools popular. Partnerships between chip design companies and cloud service providers also help to increase the regional market.
Asia Pacific is expected to see the most rapid growth in the coming years as semiconductor manufacturing facilities expand. There are more design startups, and the demand for consumer electronics is growing. Cloud-based EDA platforms are gaining popularity as the region prioritizes digitization and government initiatives to improve chip design skills. Cloud EDA is rapidly being adopted by new design firms in the area due to its affordability and scalability.
The Cloud EDA (Electronic Design Automation) market is highly competitive, propelled by rapid advancements in semiconductor technology and rising demand for scalable, cloud-based design solutions. Altium Limited, Synopsys, Inc., Cadence Design Systems, Inc., ANSYS, Inc., and Advanced Micro Devices are the market leaders, with comprehensive cloud-enabled EDA tool portfolios and strategic partnerships with leading cloud providers such as AWS, Microsoft Azure, and Google Cloud. These companies are focusing on expanding their cloud capabilities so that chip designers can benefit from improved collaboration, faster time-to-market, and lower infrastructure costs. Furthermore, emerging startups and niche vendors are entering the market with innovative SaaS-based offerings, increasing competition and forcing traditional players to speed up innovation and cloud integration.
In February 2024, Xpeedic debuted an EDA solution for multi-physics analysis at DesignCon2024. This platform supports a wide range of analysis and simulation flows, including both power AC and power DC analysis.