Cadence Design Systems, Inc. ( CDNS Quick Quote CDNS - Free Report) recently collaborated with GlobalFoundries (“GF”) to expedite the development of next-generation silicon photonics integrated circuit (IC) designs for 5G communications, hyperscale computing, healthcare, automotive, Internet of Things (IoT) and aerospace systems. Photonics technology is now recognized as a necessary technology for the datacenter revolution, and is being rapidly adopted in mainstream electronic designs. Amid this changing scenario, the latest collaboration will enable the Cadence photonics solution, an integrated electronic/photonic design automation environment, to be optimized for the new GF Fotonix platform. Benefits of the Alliance
With data being generated at an accelerated pace, there has been a rapid rise in power consumption by data centers globally. However, enterprises struggle to find an innovative solution to accelerate data transmission while optimizing energy efficiency. In this scenario, GF’s new GF Fotonix platform — its next-generation, widely disruptive, monolithic platform — has been designed to address the ever-growing need to process data faster using less energy, while also maintaining the company's leadership in the fast-growing optical networking module market.
GF Fotonix platform is the first in the industry to combine complex processes that were previously distributed across multiple chips onto a single chip. This has been done by consolidating a photonic system, radio frequency components and high-performance complementary metal-oxide-semiconductor logic in a single silicon chip, delivering industry-leading performance at scale.
Through this alliance, the comprehensive Cadence photonics solution, which supports the GF Fotonix platform, will offer customers a production-proven design platform for electronic/photonic design, simulation and analysis. This will enable customers to streamline monolithic electrical IC and photonics designs by incorporating all of the key features in a single design platform, creating efficiencies and reducing user errors. This collaboration will also enable customers to create photonics designs faster while enhancing performance, optimizing power usage and reducing system costs, thus ushering in a new era of silicon photonics products. The amalgamation of the Cadence photonics solution with the GF Fotonix platform can help customers design requirements in areas such as optical networking, super and quantum computing, fiber-to-the-home facility, 5G networks, aeronautics, and defense. San Jose, CA-based Cadence is a leading electronic systems design company leveraging more than 30 years of computational software expertise. The company is well-positioned to gain from strength across segments like digital & signoff solutions, and functional verification suite. An expanding product portfolio and frequent product launches are key catalysts. The company is also gaining from higher investments in emerging trends like the IoT and autonomous vehicle sub-systems, along with strength in the semiconductor end market. Its top-line performance is driven by a robust product portfolio that includes solutions like Cadence Cerebrus Intelligent Chip Explorer, Spectre X, Virtuoso, Clarity 3D Transient Solver and Protium Enterprise Prototyping, among others. Shares of Cadence have rallied 14.6% in the past year compared with the industry’s growth of 11.6%.
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At present, Cadence carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader technology space include Progress Software ( PRGS Quick Quote PRGS - Free Report) , Badger Meter ( BMI Quick Quote BMI - Free Report) and Iridium Communications ( IRDM Quick Quote IRDM - Free Report) . While Progress Software and Badger Meter sport a Zacks Rank #1 (Strong Buy), Iridium carries a Zacks Rank #2 (Buy). You can see . the complete list of today’s Zacks #1 Rank stocks here Progress Software has a projected earnings growth rate of 3.62% for fiscal 2022. The Zacks Consensus Estimate for Progress Software’s fiscal 2022 earnings has been revised upward by 6 cents in the past 60 days. The long-term earnings growth rate of PRGS is pegged at 2%. Progress Software’s earnings beat the Zacks Consensus Estimate in the preceding four quarters, the average surprise being 26.8%. Shares of PRGS have lost 4% in the past year. Badger Meter has a projected earnings growth rate of 5.77% for 2022. The Zacks Consensus Estimate for Badger Meter’s 2022 earnings has been revised upward by 19 cents in the past 60 days. Badger Meter’s earnings beat the Zacks Consensus Estimate in three of the last four quarters and met estimates once, the average surprise being 14%. Shares of BMI have dropped 8% in the past year. Iridium has a projected earnings growth rate of 271.43% for 2022. The Zacks Consensus Estimate for Iridium’s 2022 earnings has been revised upward by a penny in the past 90 days. Iridium’s earnings beat the Zacks Consensus Estimate in two of the last four quarters and met estimates twice, the average surprise being 39.4%. Shares of IRDM have dropped 2% in the past year.