Synopsys, Inc. · NASDAQ:SNPS

Synopsys — Annual Needham Growth Conference 2016

40 slides from Synopsys's conference presentation, Jan 11, 2016

  1. Slide 1: Annual Needham Growth Conference

    Annual Needham Growth Conference Aart de Geus Chairman and co-CEO January 2016 © 2016 Synopsys, Inc. 1

  2. Slide 2: Forward-Looking Statements

    Forward-Looking Statements This presentation contains forward-looking statements under the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, including statements regarding projected financial results and long- term growth rates. For a discussion of important factors that

  3. Slide 3: Synopsys – Market and Technology Leader

    Synopsys – Market and Technology Leader FY15 FY16 (Target) AP • Electronic Design Revenue: $2.242B $2.35B – $2.39B NA Automation NG EPS: $2.77 $2.93 to $3.00 EU JP OCF: $495M At least $500M • Semiconductor Intellectual Property (IP) • Software Quality & Business Model: 90% time-based recurring reven

  4. Slide 4: Synopsys – Growth Strategy

    Synopsys – Growth Strategy Revenue '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 © 2016 Synopsys, Inc. 4

  5. Slide 5: Synopsys – Growth Strategy

    Synopsys – Growth Strategy • Leading SW quality & • TAM: ~$2.4B security platform • Rev. growth: ~20% • TAM: ~$3.2B • High-impact outsourced • Rev. growth: low IP and prototyping to Revenue double digits enable fast time to market • EDA leadership with • TAM: ~$6.1B state-of-the-art design • Rev. gr

  6. Slide 6: Synopsys

    © 2016 Synopsys, Inc. Synopsys’

  7. Slide 7: Smart Everything / Internet of Things

    “Smart Everything” SW HW “Internet of Things” © 2016 Synopsys, Inc. 7

  8. Slide 8: Synopsys

    & —-,. rnet of Things” © 2016 Synopsys, Inc. 9 Synopsys"

  9. Slide 9: Smart Everything / Internet of Things

    “Smart Everything” Smart Smart Industrial Wearables Health Automotive Finance Homes Cities Automation “Internet of Things” © 2016 Synopsys, Inc. 9

  10. Slide 10: Smart Everything / Internet of Things

    “Smart Everything” Software Integrity Verification Design Advanced IP “Internet of Things” © 2016 Synopsys, Inc. 10

  11. Slide 11: Software Integrity, Verification, Design, Advanced IP

    Software Integrity Verification Design Advanced IP © 2016 Synopsys, Inc. 11

  12. Slide 12: Leading the Way in FinFET

    Leading the Way in FinFET ~260 FinFET designs and 300 tape-outs worldwide 250 22nm 200 16nm 150 14nm 100 10nm 50 7nm… 0 Q3'09 Q4'12 Q3'14 Q2'09 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11 Q4'11 Q1'12 Q2'12 Q3'12 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Q2'14 Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Synopsys is relied

  13. Slide 13: Optimized IP Solutions …for IoT

    Optimized IP Solutions …for IoT IoT IoT Platform • Broadest IP portfolio Interface & Processors Security IP • IoT optimized cores Analog IP • Recent acquisitions Sensor Memories & Bluetooth add critical IP Subsystem Libraries • Pre-validated IoT platform through TSMC collaboration © 2016 Synopsys, I

  14. Slide 14: Optimized IP Solutions …for IoT

    Optimized IP Solutions …for IoT IoT IoT Platform • Broadest IP portfolio Interface & Processors Security IP • IoT optimized cores Analog IP • Recent acquisitions Sensor Memories & Bluetooth add critical IP Subsystem Libraries • Pre-validated IoT platform through TSMC collaboration © 2016 Synopsys, I

  15. Slide 15: Optimized IP Solutions …for IoT

    Optimized IP Solutions …for IoT IoT IoT Platform • Broadest IP portfolio Interface & Processors Security IP • IoT optimized cores Analog IP • Recent acquisitions Sensor Memories & Bluetooth add critical IP Subsystem Libraries • Pre-validated IoT platform through TSMC collaboration © 2016 Synopsys, I

  16. Slide 16: Optimized IP Solutions …for IoT

    Optimized IP Solutions …for IoT IoT IoT Platform • Broadest IP portfolio Interface & Processors Security IP • IoT optimized cores Analog IP • Recent acquisitions Sensor Memories & Bluetooth add critical IP Subsystem Libraries • Pre-validated IoT platform through TSMC collaboration © 2016 Synopsys, I

  17. Slide 17: Optimized IP Solutions …for IoT

    Optimized IP Solutions …for IoT IoT IoT Platform • Broadest IP portfolio Interface & Processors Security IP • IoT optimized cores Analog IP • Recent acquisitions Sensor Memories & Bluetooth add critical IP Subsystem Libraries • Pre-validated IoT platform through TSMC collaboration © 2016 Synopsys, I

  18. Slide 18: Optimized IP Solutions …for Automotive

    Optimized IP Solutions …for Automotive Automotive Platform • Broadest IP portfolio Interface & Processors Security IP Analog IP • Automotive Safety Certification Sensor Memories & Subsystem Libraries Bluetooth • ASIL B ready & AEC-Q100 tested © 2016 Synopsys, Inc. 18

  19. Slide 19: Optimized IP Solutions …for Automotive

    Optimized IP Solutions …for Automotive • Broadest IP portfolio • Automotive Safety Certification • ASIL B ready & AEC-Q100 tested © 2016 Synopsys, Inc. 19

  20. Slide 20: © 2016 Synopsys, Inc.

    © 2016 Synopsys, Inc. 20

  21. Slide 21: Software Integrity, Verification, Design, Advanced IP

    Software Integrity Verification Design Advanced IP © 2016 Synopsys, Inc. 21

  22. Slide 22: Synopsys IC Compiler II: Game-Changer in Digital Design

    Synopsys IC Compiler II: Game-Changer in Digital Design V 10X © 2016 Synopsys, Inc. 22

  23. Slide 23: Fastest Product Ramp-up in Our History

    Fastest Product Ramp-up in Our History 135 Production Designs 34 Tape-outs 51 Customers 34 Process Nodes >100 Designs 4 Designs SNUG 2014 Oct. 2015 Today © 2016 Synopsys, Inc. 23

  24. Slide 24: Software Integrity, Verification, Design, Advanced IP

    Software Integrity Verification Design Advanced IP © 2016 Synopsys, Inc. 24

  25. Slide 25: Exploding HW / SW Verification Complexity

    Exploding HW / SW Verification 1M+ Line of SW Complexity CPUs GPUs 200M+ Gates Image HD Video Processor Processor USB SPI UART Display HDMI OTG NAND SDIO Mobile Security I 2S 25+ IPs MIPI Flash DDR Engine I 2C © 2016 Synopsys, Inc. 25

  26. Slide 26: 80% of Advanced Designs use Synopsys

    Verification Continuum 80% of VCS® Simulation Advanced Designs use Synopsys © 2016 Synopsys, Inc. 26

  27. Slide 27: Verification Continuum

    Verification Continuum Virtual Prototyping Debug & Coverage Unified Debug Static VCS® Physical Emulation Fastest Engines & Formal Simulation Prototyping Unified Compile VIP, Models & Databases © 2016 Synopsys, Inc. 27

  28. Slide 28: Game-Changing Verification Continuum Platform

    Game-Changing Verification Continuum Platform Virtual Prototyping #1 Debug & Coverage #1 Unified Debug #1 #1 #1 Static VCS® Physical & Formal Simulation Emulation Prototyping Fastest Engines #1 Market Positions Unified Compile VIP, Models & Databases © 2016 Synopsys, Inc. 28

  29. Slide 29: Software Integrity, Verification, Design, Advanced IP

    Software Integrity Verification Design Advanced IP © 2016 Synopsys, Inc. 29

  30. Slide 30: Software Megatrends: Growth Everywhere!

    Software Megatrends: Growth Everywhere! Lines of Code 400M Application size 100M 40M 145K 2.3M 50K Apollo 11 Windows Windows Auto Auto SNPS 1969 1992 2009 1981 2014 Source: Information is Beautiful © 2016 Synopsys, Inc. 30

  31. Slide 31: Software Megatrends: Growth Everywhere!

    Software Megatrends: Growth Everywhere! Worldwide SW Developer Population (Ms) 30 Application size 25 20 Developer headcount 15 10 5 0 ‘15 ‘16 ‘17 ‘18 ‘19 ‘20 APAC EMEA NAM LATAM © 2016 Synopsys, Inc. 31

  32. Slide 32: Software Megatrends: Growth Everywhere!

    Software Megatrends: Growth Everywhere! Quality & Security Tools Market (~$B) 1.6 Application size 1.5 1.4 1.2 1.3 1.2 0.9 Developer headcount 0.7 0.6 0.4 Total and Security markets 2012 2013 2014 2015 2016 Security ~30% Quality ~20% Source: VDC, Gartner, SNPS research © 2016 Synopsys, Inc. 32

  33. Slide 33: Software Megatrends: Growth Everywhere!

    Software Megatrends: Growth Everywhere! Application size Laws FISMA HITECH HIPPA PSQIA SHA SOX BASEL III PIPEDA DPD FDPA Industry PCI PCI Developer headcount Regs DSS PA DSS Security COBIT/ NIST DOD ISO markets 800 8500 27000 CSA ITIL Best Practices Series 01E Series Total and Security Technical OWA

  34. Slide 34: Enterprise Networking / ISV, Financial Services, Mobile, High Reliability

    Enterprise Networking / ISV Financial Services Mobile / Consumer Devices High Reliability Devices © 2016 Synopsys, Inc. 34

  35. Slide 35: Smart Everything / Internet of Things

    “Smart Everything” Smart Smart Industrial Wearables Health Automotive Finance Homes Cities Automation “Internet of Things” © 2016 Synopsys, Inc. 35

  36. Slide 36: Synopsys Software Integrity: Growing the Business

    Synopsys Software Integrity: Growing the Business February 2014 Leader in Static Quality Testing April 2015 Expand into Dynamic Security Testing May 2015 Expand into Dynamic Web Application Security November 2015 Expand into Software Composition Analysis © 2016 Synopsys, Inc. 36

  37. Slide 37: Our Business Strategy

    Our Business Strategy Software Software Software Platform Sign-Off Certification Quality Security Safety & Privacy + + © 2016 Synopsys, Inc. 37

  38. Slide 38: Growing the Business: Industry Recognition

    Growing the Business: Industry Recognition Synopsys Positioned as Visionary in 2015 Magic Quadrant for Application Security Testing Challengers Leaders 6 August 2015 G00268424 Ability to Execute *Gartner "Magic Quadrant for Application Security Testing" by Neil MacDonald, Joseph Feiman. August 6, 20

  39. Slide 39: Market and technology leader

    Market and technology leader in: • Electronic Design Automation • Semiconductor Intellectual Property • Software Quality & Security Solid Financials: • Ratable, recurring revenue model • Large, non-cancelable backlog • Excellent execution © 2016 Synopsys, Inc. 39

  40. Slide 40: Thank You!

    THANK YOU! © 2016 Synopsys, Inc. 40

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