PCB Design Revenue Climbs as EDA Market Expands in Q2
MILPITAS, CA – Revenue from PCB and multichip module (MCM) design tools climbed sharply in the second quarter, reflecting ongoing strength in the electronic system design sector. According to an October report from the ESD Alliance, PCB and MCM revenue grew 7.8% year-over-year to $430.5 million, with the four-quarter moving average up 8.8%.
The broader electronic system design industry generated $5.09 billion in revenue during the quarter, an 8.6% increase from the same period in 2024. Growth was broad-based across key product categories, with computer-aided engineering (CAE) and services leading the gains, while semiconductor intellectual property (SIP) revenue also posted solid improvement.
Regionally, the Americas remained the largest market, with revenue up 12.2% year-over-year, followed by Europe, the Middle East and Africa (EMEA) with an 11.4% rise. Asia Pacific posted a 6.7% increase, while Japan saw a decline of 9.2%.
Employment across companies contributing to the report also continued to rise, with total headcount reaching 72,529, up nearly 15% from the prior year.
“The electronic design automation industry continues to report strong growth, with PCB and MCM tools showing solid demand as system complexity increases,” said Walden C. Rhines, spokesperson for the ESD Alliance. “Americas and EMEA regions delivered double-digit growth, underscoring robust global momentum.”
Hot Takes
Global smartphone shipments climbed 2.6% year-over-year to 322.7 million units in the third quarter. (IDC)
Chip industry leaders warned that proposed visa restrictions and steep H-1B fees could shrink the tech talent pipeline and undermine US semiconductor expansion efforts. (Bloomberg)
A new global manufacturing outlook highlights four forces reshaping the industry in 2026: AI’s rise as a core growth driver, the push for greater operational agility, evolving customer demands and the need for resilient sourcing strategies. (Xometry)
North American electronics manufacturing services companies reported August shipments fell 1.4% year-over-year but rose 3.6% versus July. Shipments are down 0.7% for the year. Bookings fell 4.3% year-over-year and rose 5.6% from the previous month. Year-to-date bookings are up 1.2%. (GEA)
The global economy is expected to face heightened uncertainty in Q4, eroding consumer and investor confidence and likely dampening year-end spending. In response, supply-chain players are adopting a more cautious outlook heading into the holiday season. (TrendForce)
The Philippines’ electronics exports may hit $110 billion in five years, but uncertainty clouds the outlook. (Semiconductor and Electronics Industries in the Philippines Foundation)
PCB production in Taiwan is expected to expand 12% annually this year to NT$916 billion (US$30 billion), driven primarily by demand for AI servers. The current forecast is higher than the 4.6% increase estimated in March, as production in the second quarter jumped 14% to a record NT$218 billion. (TPCA)
North American printed circuit board shipments rose 12.8% year-over-year in July and 3.3% sequentially, and are up 8.3% year-to-date. Bookings fell 4% compared to a year ago, and were down 5.2% versus July. For the year, bookings are up 14.5%. (GEA)
Huawei’s global smartwatch shipments in the second quarter rose 8% year-over-year to 3.4 million units, giving the Chinese ODM the top spot for the first time with a 21% global market share. (Counterpoint Research)
Worldwide semiconductor sales climbed 22% year-over-year in August, driven by strong demand for memory and logic chips in the Asia Pacific and Americas. (SIA)
Global PC shipments rose 9.4% year over year in the third quarter to 75.8 million units, supported by ongoing Windows 11 transitions and large-scale hardware refresh cycles. (IDC)
Spending for 300mm fab equipment will reach $374 billion over the next three years as AI demand and regionalization accelerate advanced capacity buildouts worldwide. (SEMI)
Industry leaders are urging government support for India’s PCB MSMEs (micro, small and medium enterprises), citing rising electronics demand, imported raw material dependency, and cost disadvantages against China. (SME Futures)
The September outlook of electronics components suppliers rose 50 basis points to 118.2, and is expected to remain at that level in October. (ECIA)
DRAM and NAND delivery lead times have stretched out, with LPDDR5X now quoted at 26–39 weeks. (Commercial Times)
HDD and SSD suppliers are expanding their high-capacity storage options. (TrendForce)
Sales of over-the-counter continuous glucose monitors are expected to grow to $2 billion by 2034, up from $370 million in 2024. (Global Market Insights)
Global shipments of silicon wafers are projected to increase 5.4% in 2025 to 12.8 billion sq. in., followed by steady growth through 2028 when the market is expected to reach a new industry record of 15.5 billion sq. in. (SEMI)
September North American PCB shipments rose 32% from last year and fell 7.8 sequentially%. Year-to-date shipments are up 10.5%. Bookings ticked up 1.8% year-over-year and fell 1.6% from August. YTD bookings are up 13.1%. (GEA)
North American EMS shipments fell 1.2% in September from a year ago and rose 1.1% from August. Bookings fell 3.2% year-over-year and decreased 10.9% sequentially. Year-to-date shipments are down 0.8% while bookings are up 0.7%. (GEA)