Archive · 13 Nov 2025
Synopsys Lays Off 10% of Workforce Amid Ansys Acquisition and Restructuring
Imagine a company called Synopsys that makes special computer tools for designing chips.
They just bought another company, Ansys, for a lot of money.
Because they are now a bigger company and want to work more smoothly, they have decided to let go of about 2,000 employees, which is 10% of all their workers around the world.
They will spend money to help these employees leave and might close some offices.
This is happening because they didn't make as much money as they hoped last quarter and because some customers aren't ordering as much, partly due to rules about sending technology to other countries.
This is also happening at a time when many other companies are also letting people go.
Synopsys is laying off approximately 2,000 employees, representing 10% of its global workforce.
The job cuts are part of a restructuring plan following the company's $35 billion acquisition of Ansys.
Synopsys anticipates spending $300–350 million on restructuring costs, including severance and office closures.
The company missed revenue expectations in the third quarter and faces slower demand, particularly in China.
These layoffs are occurring amidst a broader trend of widespread job cuts in the US, with over 150,000 layoffs announced in October.
- Who
- Synopsys
- What
- Laying off approximately 2,000 employees (10% of its global workforce) as part of a restructuring plan following the acquisition of Ansys.
- When
- Most layoffs to occur in fiscal 2026, with the full plan concluding by the end of fiscal 2027.
- Where
- Global workforce.
- Why
- To simplify operations post-Ansys acquisition, address missed revenue expectations, and counter slower demand, partly due to export restrictions and reduced orders from a major customer.
Company Explanation
External Context
Reason for Layoffs
Company Explanation
Synopsys is cutting jobs to simplify operations following its $35 billion acquisition of Ansys and to address missed revenue expectations and slower demand.
External Context
These layoffs occur amidst a broader trend of significant job cuts across US employers, with over 150,000 layoffs announced in October, the highest for that month in over two decades.
Impact of Acquisition
Company Explanation
The job cuts are a direct result of restructuring efforts to integrate Ansys and simplify operations post-acquisition.
External Context
The substantial financial outlay for the Ansys acquisition and the associated restructuring costs suggest a significant strategic shift and potential financial pressure.
- Company
- Synopsys
- Percentage of Workforce Laid Off
- 10%
- Approximate Number of Employees Laid Off
- 2,000
- Acquisition Target
- Ansys
- Acquisition Cost
- $35 billion
- Restructuring Costs
- $300–350 million
- Timeline for Layoffs
- Mostly in fiscal 2026, completion by end of fiscal 2027
