Design IP (interface, foundation and security IP)
Processor IP was sold to GlobalFoundries in June 2026. Design IP returned to year-over-year growth in Q3 fiscal 2026.
The numbers
What it is
Synopsys licenses the building blocks that chip designers reuse, including interface IP, foundation IP such as logic libraries and embedded memories, and security IP. The company is concentrating this business on interface and foundation IP and on AI-related opportunities.
Why it matters to the stock. This segment had the weakest trend in fiscal 2025, with revenue down 8% and adjusted operating margin falling to 24% from 38%. Returning growth is a key test of the narrower portfolio.
News
Synopsys sets FY2030 targets of mid-teens growth and about 50% operating margin, with $1B buyback
Synopsys set multi-year targets through fiscal 2030 of mid-teens revenue growth and an operating margin of about 50%.
Amazon becomes lead customer in $1B-plus Synopsys silicon IP deal
Synopsys signed a multi-year agreement worth more than $1 billion, with Amazon as lead customer for its application-optimized silicon IP.
Synopsys and TSMC certify digital and analog flows on A14 and add agentic design tools
Synopsys said it has certified digital and analog design flows on TSMC's A14 process, from implementation through signoff, and is adding agentic AI to analog, digital and multi-die design.
Synopsys raises FY2026 revenue and EPS guidance and sets Q4 outlook
Synopsys raised its fiscal 2026 outlook to revenue of $9.690 billion to $9.740 billion and non-GAAP EPS of $15.04 to $15.10, up from the May range of $9.625 billion to $9.705 billion and $14.72 to $14.80.
Synopsys certifies AI-powered EDA flows for Intel 14A process
Synopsys said it certified its AI-powered digital and analog EDA flows for Intel's 14A process, extending existing 18A and 18A-P work.
GlobalFoundries completes purchase of Synopsys ARC processor IP business
GlobalFoundries completed its acquisition of Synopsys' ARC Processor IP Solutions business.
Synopsys brings AI-driven flows for Samsung 2nm and multi-die designs
At SAFE Forum 2026, Synopsys said its AI-powered digital and analog flows are production-ready for Samsung Foundry's third-generation 2nm-class process.
Synopsys Q2 FY2026: revenue $2.28 billion and raised guidance, shares fall
Synopsys reported second-quarter fiscal 2026 revenue of $2.276 billion, up 42% from $1.604 billion, and non-GAAP EPS of $3.35.
Synopsys and TSMC announce silicon-proven IP milestones and A14 design flow work
Synopsys announced TSMC-related milestones across its IP and EDA portfolio, including the first silicon bring-up of M-PHY v6.0 IP on TSMC N2P and a 64G UCIe IP tape-out.
Synopsys supplies full-stack chip design tools for Arm's AGI CPU
Synopsys said it worked with Arm on the AGI CPU, a data-center processor built on Arm Neoverse CSS V3, to tune its power, performance and efficiency.
Synopsys board approves up to $2.0 billion stock buyback replenishment
With its first-quarter fiscal 2026 results, Synopsys said its board replenished the stock repurchase program with authority to buy up to $2.0 billion of common stock.
Synopsys agrees to sell its Processor IP business to GlobalFoundries
Synopsys signed a definitive agreement to sell its Processor IP Solutions business to GlobalFoundries.