ESDA Report: Electronic Systems Design Industry Sales to Reach $5.7 Billion in the Second Quarter of 2026

On October 19, 2026, U.S. Pacific Time, the Electronic System Design Alliance (ESDA), a technology community under SEMI, announced in its latest Electronic Design Market Data Report (EDMD) that second-quarter 2026 sales in the electronic system design (ESD) industry increased by 12.2% year over year, reaching $5.7108 billion, compared with $5.0894 billion in the second quarter of 2025. Over the most recent four quarters, the four‑quarter moving average rose by 11.2%.

Walden C. Rhines, Executive Sponsor of the SEMI Electronic Design Market Data Report and CEO of Silvaco Group, Inc., stated: “The electronic design automation industry posted another strong year-over-year sales growth in the second quarter of 2026. With the exception of printed circuit boards and multi-chip modules, all product categories recorded increases, led by double-digit growth in IC physical design and verification, semiconductor intellectual property, and services. All geographic regions experienced growth in the second quarter, with the Asia-Pacific region posting double-digit expansion.”

According to the EDMD report, the companies tracked had a total global workforce of 71,396 employees in the second quarter of 2026, down 1.6% from 72,529 in the second quarter of 2025 and also down 1.6% from the first quarter of 2026.

The EDMD quarterly report includes detailed information such as the following categories and geographic breakdowns.

Sales by Product and Application Category – Year-over-Year Change

·Computer-Aided Engineering (CAE) sales increased by 7.7% to $2.0776 billion. CAE’s four-quarter moving average rose by 10.7%.

·IC physical design and verification sales increased by 16.6% to $818.3 million. The four-quarter moving average for this category grew by 5.4%.

·Sales of printed circuit boards and multi-chip modules (PCBs and MCMs) declined 15.4% to $364.2 million. The four-quarter moving average for PCBs and MCMs fell 1.3%.

· Semiconductor Intellectual Property (SIP) sales increased by 20.4%, reaching $2.199 billion. The four-quarter moving average for SIP rose by 16.6%.

·Service sales increased by 25.1%, reaching $251.7 million. The four-quarter moving average for services rose by 15.2%.

Sales by Region – Year-over-Year Change

·As the largest sales region, the Americas purchased $2.4435 billion worth of electronic systems design products and services in the second quarter of 2026, up 7.1%. The Americas’ four-quarter moving average increased by 8.6%.

·Europe, the Middle East, and Africa (EMEA) purchased $665.6 million worth of electronic system design products and services in the second quarter of 2026, up 2.3%. EMEA’s four-quarter moving average increased by 8.6%.

·In the second quarter of 2026, Japan’s procurement spending on electronic systems design products and services increased by 9.3%, reaching US$303.1 million. Japan’s four-quarter moving average declined by 8.2%.

·In the second quarter of 2026, the Asia-Pacific (APAC) region procured electronic systems design products and services worth US$2.2987 billion, up 22.4%. The APAC region’s fourth-quarter moving average increased by 18.3%.

Source: SEMI China