Business · Companies · 22 hrs ago
Cadence urges India to build a homegrown chip-design software industry
Cadence Design Systems is urging the Indian government to help develop a homegrown industry for electronic design automation, or EDA, software.
The tools automate the complex work of planning the connections inside microchips.
Indian chip-design companies currently import most of their EDA tools from global suppliers including Cadence, Synopsys and Siemens.
Cadence India Managing Director Alok Jain says a local industry would help make India’s semiconductor ecosystem more complete.
But EDA software and chip design are expensive, and many startups lack the funding to buy the tools; only 11 per cent of 370 homegrown semiconductor design startups are funded, Jain said.
He suggested pay-per-use or cloud-based access as possible ways to reduce costs for smaller companies.
Cadence says it would need to work out a model to support the government’s efforts, potentially including consultancy.
Cadence Design Systems is urging India to build a homegrown electronic design automation industry to support its semiconductor ambitions.
Cadence India Managing Director Alok Jain said India needs a balanced semiconductor ecosystem that includes EDA.
Indian chip design companies currently import most of their EDA software from Cadence, Synopsys and Siemens.
Jain said developing an Indian EDA industry would take time and Cadence would need to work out a model to support the effort with the government.
He also said high software costs and limited funding make it difficult for startups and smaller companies to adopt EDA tools.
- Who
- Cadence Design Systems, represented by Cadence India Managing Director Alok Jain.
- What
- Cadence is urging India to develop a homegrown electronic design automation industry.
- When
- The article was published on October 11, 2026.
- Where
- India.
- Why
- Cadence says a homegrown EDA industry would help create a balanced ecosystem for India’s semiconductor ambitions.
This story does not have two clearly opposing sides.
If your ambition is to become a big player in the semiconductor space, India needs to have a balanced ecosystem from design, verification, IT, talent, manufacturing, packaging and product development.
So there is no reason why India cannot start an EDA industry, especially as it does not require too much capital investment.
EDA tools are expensive, chip design is an expensive process.
We have to look at different models like pay-per-use or EDA tools in the cloud, so you don’t need to spend on your own infrastructure.
This story does not have a timeline yet.
- EDA market
- $16-21 billion per year globally
- Projected EDA market
- $43 billion by 2035
- Homegrown semiconductor design startups
- 370
- Funded startups
- 11 per cent
- Cadence workforce in India
- 30-40 per cent of the company’s global workforce
Sources
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