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Synopsys Increases Portfolio

By: Zacks Equity Research
October 16, 2009 | Comments: 0
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Leading software and semiconductor IP design company Synopsys Inc. (SNPS - Analyst Report) recently introduced the Synphony HLS (High Level Synthesis) solution that combines M-language and model-based synthesis, enabling the delivery of around ten times higher design and verification productivity compared to traditional RTL (Register Transfer Level) flows for communication. 

In RTL design, a circuit's behavior is defined in terms of the flow of signals (or transfer of data) between hardware registers and the logical operations performed on those signals. This whole operation is carried out within a span of time, which will be drastically reduced by the introduction of HLS technology. 

Synphony HLS is made through a combination of Synopsys’ Design Compiler, Synplify Premier, Confirma, VCS, System Studio and Innovator products in order to facilitate the process of prototyping, implementation and verification flows from algorithm to silicon. Technical experts expect that the Synphony HLS will significantly change the process of system validation and embedded software development. This new product is expected to fetch the company new electronic design automation (EDA) customers as Synphony HLS is expected to increase the efficiency of the end product. 

Synopsys is therefore continuously rolling out new products and solutions. It is clear that the company is trying to grow through innovation and new product development. We are encouraged by Synopsys’ new technologies and its ability to attract new and important customers, which should improve the company’s revenue and cash flows going forward. This apart, Synopsys is benefiting from the increasing complexity of semiconductors and more challenging shrink cycles. The company is gaining traction through new products, acquisitions and new EDA partnerships, which bode well for growth in 2009. 

Despite the current macro economic concerns, Synopsys posted better-than-expected third quarter 2009 results. Although the industry-wide weakness is impacting the company, the aforesaid factors will help it grow and enhance its business prospects.

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