Synopsys to Acquire Ansys in $35B Deal

SUNNYVALE, CA – Synopsys and Ansys in January announced a definitive agreement under which Synopsys will acquire its fellow ECAD provider for $35 billion in stock and cash. The deal is expected to close in the first half of 2025.

Cadence Design Systems and Siemens also reportedly made bids for Ansys before Ansys agreed to the Synopsys sale, with Cadence kicking off the sales process after making an initial acquisition offer last fall, CNBC reported. 

Ansys shareholders will own 16.5% of Synopsys following the merger, Synopsys CEO Sassine Ghazi said during a conference call after the announcement. The deal will be funded in part by $16 billion of new debt, plus $3 billion in cash.

Combining Synopsys’ semiconductor EDA tools with Ansys’ broad simulation and analysis portfolio will create a leader in silicon to systems design solutions, the companies said.

“The megatrends of AI, silicon proliferation and software-defined systems are requiring more compute performance and efficiency in the face of growing, systemic complexity,” Ghazi said. “Bringing together Synopsys’ industry-leading EDA solutions with Ansys’ world-class simulation and analysis capabilities will enable us to deliver a holistic, powerful and seamlessly integrated silicon to systems approach to innovation to help maximize the capabilities of technology R&D teams across a broad range of industries. This is the logical next step for our successful, seven-year partnership with Ansys and I look forward to working closely with the talented Ansys team to realize the benefits of this combination for our customers, shareholders and employees.”

“Since inception 37 years ago, Synopsys has been an innovation pioneer, central to world-changing semiconductor advances in computation, networking, and mobility, and now enabling the new era of ‘pervasive intelligence’,” said Aart de Geus, executive chair and founder of Synopsys. “Joining forces with Ansys, a company we know well from our longstanding partnership, is the latest example of how Synopsys remains at the forefront. Our board and management team carefully evaluated our top strategic options to lead and win in this fast-growing new wave of electronics and system design. The technology-broadening team-up with Ansys is an ideal, value-enhancing step for our company, our shareholders, and the innovative customers we serve.”

“For more than 50 years, Ansys has enabled customers to design, develop and deliver cutting-edge products that are limited only by imagination. By joining forces with Synopsys, we will amplify our joint efforts to drive new levels of customer innovation,” said Ajei Gopal, president and CEO of Ansys. “This transformative combination brings together each company’s highly complementary capabilities to meet the evolving needs of today’s engineers and give them unprecedented insight into the performance of their products.”

GreenSource Nabs $43M DoD Award for Fab Upgrades

WASHINGTON – The Department of Defense in late December announced an award of $46.2 million to GreenSource Fabrication to enhance existing production capabilities at a manufacturing facility of state-of-the-art IC substrate, high-density interconnect (HDI) and ultra-high-density interconnect (UHDI), and advanced packaging.

The grant was made as part of the recently signed Defense Production Act Investment (DPAI) Program.

“Reshoring advanced packaging and assembly are essential to increase semiconductor supply chain security,” said Dr. Laura Taylor-Kale, Assistant Secretary of Defense for Industrial Base Policy. “Expanding domestic production capability for printed circuit boards and advanced packaging is necessary to avert a shortfall that would severely impair national defense capability.”

The award will enable GreenSource to scale up engineering, tooling, and manufacturing operations to establish a dedicated facility for IC substrate fabrication for a high-mix, low-volume offering of advanced interconnect solutions. These domestic production capabilities for HDI, UHDI, IC substrates, and advanced packaging are critical enabling technologies for sixth-generation systems and applications, including for radar, electronic warfare, information processing, and communications.

Siemens Adds Thermal Digital Twin Technology

PLANO, TX – Siemens Digital Industries Software has announced a new approach for sharing accurate thermal models of IC packages.

The main advantages of the new technology are protecting intellectual property, enhancing supply chain collaboration and accuracy of models for steady state and transient thermal analysis to enhance design studies, the company said.

Introduced in the latest updates to Simcenter Flotherm software for electronics cooling simulation from the Siemens Xcelerator portfolio, the Embeddable Boundary Condition Independent Reduced Order Model (BCI-ROM) technology permits a semiconductor company to generate an accurate model that can be shared with its clients for use in downstream high-fidelity 3-D thermal analysis without exposing the IC’s internal physical structure.

MediaTek, a fabless semiconductor company specializing in systems-on-chip (SoC) for mobile, home entertainment, connectivity and IoT products, uses Simcenter Flotherm to drive efficiency in its collaboration with customers.

“Embeddable BCI-ROM is a great way to share our thermal models with our customers. It has several key features: easy generation, confidentiality, low error rate, and suitability for steady-state and transient applications,” said Jimmy Lin, technical manager, MediaTek.

Today’s electronics often have heat dissipation challenges that need to be resolved during design due to higher power density influenced by the miniaturization of semiconductor packages and electronic systems, trends for thin-form consumer products, or demanding processing requirements. As a result, the need for more detailed thermal models to help solve thermal management design tasks is growing. Increasingly, modern IC package architectures such as 2.5-D, 3-D IC, or chiplet-based designs have highly complex thermal management challenges that require 3-D thermal simulation both during their development and during integration of IC packages into electronics products.

“Given electronics supply chain pressures and the growing complexity of IC packages, barriers to collaboration and thermal analysis efficiency during design must be eliminated where possible to support competitive development,” said Jean-Claude Ercolanelli, senior vice president, Simulation and Test Solutions, Siemens Digital Industries Software. “Our breakthrough new technology enables accurate thermal models to be shared securely within the electronics supply chain without exposing sensitive intellectual property, allowing all parties to resolve thermal issues faster and bring advanced products to market more quickly.”

Cadence Acquires Invecas

SAN JOSE – Cadence Design Systems has announced the acquisition of Invecas, a provider of design engineering, embedded software and system-level solutions headquartered in Santa Clara, CA. Terms of the transaction were not disclosed. The acquisition is expected to be immaterial to Cadence’s total revenue and earnings this year, the company said.

The acquisition brings a skilled engineering team centered in Hyderabad, led by Invecas CEO Dasaradha Gude, that has vast experience in delivering end-to-end system solutions with deep expertise in advanced nodes, mixed-signal, verification, embedded software, packaging and turnkey custom silicon production, Cadence said a release.

Invecas has served hundreds of customers across various verticals, including mobile, networking, hyperscaler and automotive, and in addition to Cadence’s EDA solutions, the newly acquired company will also leverage and augment Cadence’s IP portfolio to enable more comprehensive custom product solutions.

“With complexity and challenges increasing due to the proliferation of AI, 2.5-D/3-D and chiplet designs, customers need access to experienced teams that can assist with bringing designs from ideation to production,” said Boyd Phelps, senior vice president and general manager, Silicon Solutions Group, Cadence. “With the acquisition of Invecas, Cadence is able to scale our system design engineering offerings to support customers in critical high-growth verticals who are faced with the need to aggressively increase performance while tackling ever-increasing system-level complexity.”

“Generational trends are accelerating the increases in design complexity and driving a customer need for skilled engineering talent that can assist with system design,” said Dasaradha Gude, CEO, Invecas. “We are excited to join the Cadence team and to enhance the solutions available to customers, utilizing our core expertise to accelerate customer silicon and system development efforts.”

Simmtech Investing in Indian Semiconductor Fab

CHEONGJU, KOREA – South Korean PCB maker Simmtech has announced plans for a INR1,250 core ($151 million) investment in the Indian state of Gujarat to support Micron’s semiconductor plant being built in the state.

Simmtech CEO Jeffery Chun made the announcement at the 2024 Vibrant Gujarat Global Summit.

“Through the support of central and state governments, we are ready to make an investment in Gujarat which will create thousands of jobs,” he said.

Last year, Micron announced plans to set up a semiconductor assembly and test plant in Gujarat with a total investment of $2.8 billion.

Chun said the colocation investment with Micron mirrors a similar investment that the company previously made in China, and this investment will further India’s goal to become a major player in the global semiconductor supply chain.

“We really look forward to further supporting our customers’ supply chain, both in India and globally,” he said. “And we will further enable India’s domestic players to be part of the global supply chain ecosystem.”

Simmtech ranked 21st on the 2023 NTI-100 list of the world’s largest PCB fabricators, with reported revenue of $1.3 billion in 2022.

Orbic Electronics to Move Manufacturing from China to US

HAUPPAUGE, NY – Orbic Electronics Manufacturing has announced the launch of its Project Patriot initiative, which will move its manufacturing operation from China to New York’s Suffolk County, bringing more than 1,000 new jobs to the area.

Orbic Electronics Manufacturing produces a range of connected devices, including smartphones, tablets and mobile hotspots.

“This initiative is a stride forward in our vision of a sustainable, job-creating future,” said Mike Narula, President and CEO, Orbic Electronics. “Project Patriot is set to be a very exciting time in our company’s history, and Suffolk County is the perfect location for the bulk of our work to advance the production of American-Made products and grow American manufacturing jobs. Having our products read ‘Made in America’ is a tremendous point of pride for us, and it will also allow our company to bolster the local economy, helping other vendors in Suffolk County succeed alongside us.”

Orbic received an incentive from the Suffolk County Industrial Development Agency to lease and renovate a 70,000 sq. ft. building, which sits on a five-acre lot in Hauppauge, as part of a $30.8 million investment. The investment into renovating the building and adding manufacturing technology is expected to achieve a mass production target of five million units per year and create more than 1,000 jobs in the next five years, the company said.

Amber Enterprises Acquires Majority Stake in Ascent Circuits, Signs MoU with Korea Circuits

GURGAON, INDIA – Indian EMS provider Amber Enterprises, through its subsidiary Iljin Electronics, has acquired a 60% stake in PCB maker Ascent Circuits for an undisclosed sum.

India-based Ascent Circuits’ clients include the Indian Space Research Organisation (ISRO), Bharat Electronics (BEL) and Bharat Heavy Electricals (BHEL), as well as several domestic and global automotive, telecom, and consumer electronics companies.

Amber, under the newly acquired Ascent Circuits, also signed a memorandum of understanding with South Korea’s Korea Circuit to boost its PCB portfolio.

“This association between Amber and Korea Circuit will envelop the entire portfolio of PCBs required for various applications in India’s electronics manufacturing growth story i.e. HDI (high density interconnect), flex, semiconductor substrate, multilayer, double-sided, (and) single-sided,” the company said.

The company said the agreement will permit Korea Circuit to gain a competitive advantage in the Indian market and help to grow its business, and will strengthen its electronics manufacturing portfolio by increasing its local value addition and backward integration into passive components of PCB assemblies.

Kontron Acquires Majority Stake in EMS Katek

LINZ, AUSTRIA – Kontron has agreed to acquire around 60% of the shares in Katek in a bid to expand its portfolio of green energy solutions and the aerospace segment.

The transaction, in which Kontron is acquiring 8,587,138 shares in Katek for a purchase price of €15 ($16.30) per share from primary shareholder Primepulse, is expected to be completed by March pending regulatory review, Kontron said in a release.

Katek offers electronics manufacturing and products for solar energy and e-mobility. The company had revenue of more than €750 million ($815.2 million) in 2023, and has more than 3,200 employees in locations across Europe, Asia and North America.

The aim of the acquisition is to expand Kontron’s portfolio with smart solutions for renewable energies and other industries, the company said, and to achieve this, Katek’s products will be upgraded with Kontron’s software expertise and IoT connectivity – enabling the products to become more secure, have firewall functionality, be able to connect to complex grids and be maintained remotely. The merger expands Kontron’s “Software + Solutions” segment to include the future-oriented “GreenTec” division.

“With the acquisition of Katek SE, we are expanding our presence in the high-growth area of clean energy solutions in a targeted manner and also strengthening the Aerospace division at Kontron with the Katek subsidiary NexTek,” said CEO Hannes Niederhauser. “The clean energy sector holds considerable potential for the future. Upgrading with Kontron software will increase gross margins by around 5% in the medium term, thereby increasing profitability at Katek as well.”

Neways Acquires Microsystems Firm Sencio

SON, NETHERLANDS – Neways in January announced the acquisition of Sencio, a microsystems company based in Nijmegen, Netherlands, that specializes in advanced packaging for smart sensing and actuation applications.

The acquisition solidifies Neways’ position in microelectronics technology, the company said in a release. Sencio will continue to operate under the brand Neways Advanced Microsystems and operate out of its current facilities in Nijmegen.

“Over the past years Neways has invested significantly in its technology position, that allows us to act as innovation partner for the most demanding customers in the industry,” said Hans Büthker, CEO, Neways. “Through the acquisition of Sencio we further strengthen our market position in microelectronics and are able to offer a broader suite of integrated services to both Neways’ and Sencio’s customers. We welcome the Sencio team and are looking forward to our joint journey forwards.”

“I am excited to become part of the Neways team and continue offering our technology with a large part of the dedicated and specialized Sencio team,” said Sencio CEO Oliver Maiwald. “Joining forces with Neways enables us to offer a complete suite of advanced microelectronics services to a broad set of customers that can benefit from advanced packaging for smart sensing and actuation applications.”

Inission Announces Acquisition of AXXE

KARLSTAD, SWEDEN – Swedish EMS provider Inission has expanded its presence in southern Norway with the acquisition of AXXE. The companies signed an agreement for the sale on Jan. 17, and the deal closed on Jan. 31.

According to the agreement, Inission will pay NOK27 million ($2.6 million) for 50.1% of the shares in AXXE, which is five times the average EBITDA for 2021-23. Inission will further pay six times the average EBIDTA from 2024-26 for the remaining 49.9% of AXXE.

AXXE has a portfolio of customers in several different segments such as marine, communications and IoT and industrial, and has 46 employees located in Halden, Norway. In 2022, AXXE had sales of NOK138 million ($13.1 million) and EBITDA of NOK8 million ($759,000).

“We are extremely happy to see Inission expand in Norway through the acquisition of AXXE,” said Erik Dragset, CEO, Inission. “The company is one of the best-known EMS companies in the country and we look forward to a strong collaboration. With Inission’s and AXXE’s combined capacity and industry knowledge, we can offer our customers both ground-breaking solutions and world-class customer service.”

“As an EMS company in electronics manufacturing, we are one of the oldest and most experienced in our field,” said AXXE CEO Øystein Back. “We have worked with the production and assembly of complex electronics together with many of our customers for more than 17 years. By combining our strengths with Inission, we can take care of our customers more efficiently, offer a wider range of services and develop our business in a completely new way. This ensures that we meet the growing needs of all sectors of the electronics industry.”

LCY Group Signs $9.5M Deal with Nippon Denkai

TAIPEI – Taiwan’s LCY Group has signed a business and capital alliance agreement with Nippon Denkai’s US electrolytic copper foils subsidiary to offer a $9.5 million loan to support collaborations and share experiences in operations and expansions in the US.

In addition to the loan offered by LCY Group, the two companies have signed a license agreement under which LCY Technology will have access to Denkai’s technology license. Under the agreement, LCY and Denkai will be able to complete and expand geographical customer portfolios and strengthen technological cooperation in rigid and flexible boards as well as high-functioning fields (high-frequency, high-density mounting, etc.), LCY said in a release.

The partnership aims to enhance the production flexibility of both parties in manufacturing high-end PCB copper foils, which are used in packaging substrates, 5G and advanced driver assistance systems (ADAS) applications in Taiwan, China and the global market. LCY said it believes that the combined technical expertise, product portfolio and rich customer experience of both sides will help Denkai Group accelerate the realization of its mid- to long-term goals, and the collaboration aims to maximize production and sales synergies through accelerated sales growth of specialized PCB copper foil.

Foxconn Establishes EV Production Business in China

TAIPEI – Foxconn Technology Group has established an electric vehicle business in Zhengzhou, China, amid declining smartphone sales.

The new firm, Foxconn New Energy Automobile Industry Development, was founded in Zhengzhou – also home to Foxconn’s 200,000-employee iPhone factory – with a registered capital of 500 million yuan ($70 million), according to public records. Its business covers car component manufacturing and development, motor production and NEV sales, among other areas.

Foxconn said the new venture belongs to Foxconn Innovation Industry Development Group and aims to sharpen the company’s focus on the electric vehicle industry, according to the South China Morning Post.

Dixon Factory Searched by Indian Government

NOIDA, INDIA – Dixon Technologies has announced a search of one of its subsidiary’s manufacturing facilities here by India’s Directorate of Revenue Intelligence.

In a regulatory filing, Dixon said the DRI searched the factory regarding the classification of the raw material imported for manufacturing one of the products. The company said the search took place on Jan. 17, but did not specify the product or the raw materials that were searched.

Dixon said the search should not have a material impact on the company’s operations, and it is cooperating with the investigation.

“The issues raised by the DRI are interpretational in nature and we stand committed to defend our interpretation using all recourse available to us. We have extended full cooperation to the DRI, including providing complete information in a timely manner,” the company said.

DSL Launches In-House Assembly Service

LETCHWORTH GARDEN CITY, UK – DSL – Electronic Manufacture has established an in-house PCB assembly service to bring design and manufacturing under the same roof.

The company, which has specialized in electronic design services during its history, said it first initiated the plans in the summer of 2023, after finding that the scarcity of components made it nearly impossible to produce PCB assemblies, and if they could be obtained, the costs were exorbitant.

“We found ourselves in a difficult position, trying to justify the significant price increases imposed by our outsourced manufacturing partners without any valid justifications ourselves,” the company said in a release. “Moreover, we faced numerous manufacturing issues, including costly mistakes, especially considering the high prices of these components. Once again, DSL was left in a compromising position, disappointing our valued clients through no fault of our own. We reached a breaking point and decided that enough was enough.”

After conducting research on the necessary equipment and manufacturers/models available, the company opted for a fully automated SMT assembly line, plus a 3-D automated optical inspection machine, and it revamped its entire production area by installing dedicated benches for through-hole assembly. Its production manager had also previously managed a contract electronics manufacturer in a past role, and with the support of its in-house design engineering team and the recruitment of skilled hand soldering technicians, DSL said it was well-prepared for the addition of assembly services.

The company said it will be fully equipped to launch its manufacturing capability by January.

Cicor Closes STS Defence Acquisition

BRONSCHHOFEN, SWITZERLAND – Cicor Group has successfully closed the acquisition of 100% of the shares of the UK-based STS Defence announced in October 2023.

With the acquisition, Cicor adds a specialist in the design, manufacture and assembly of equipment and systems, as well as the integration and maintenance throughout the equipment’s life cycle. STS Defence employs around 150 people in the south of the UK and generated sales of GBP27.5 million ($35 million) in the fiscal year ended Jun. 30.

Cicor said it is committed to continue providing engineering support and manufacturing services from the existing STS Defence site under the current management team.