The semiconductor IP business: the Imagination overview

By _Imagination Blog

September 23, 2022

I was recently privileged to be asked to deliver a keynote on the semiconductor IP business to a distinguished group of engineers at the IEEE SoC Conference in Belfast. While I’m a lifelong marketing man rather than an engineer, hopefully, my 25 years working in the IP industry has enabled me to view it from all angles and offer up some insight. Let’s dive in…

The state of the market

In recent years, the semiconductor market has been characterised by several factors. These include increased demand, cyclical supply, constant technological change, price erosion, evolving standards and varying product life cycles. Periods of diminished product demand have led to downturns, resulting in erosion of average selling prices (ASPs) and other factors that impact customers and the markets in which they operate.

On the upside, an increased requirement for high-performance IP solutions has bolstered the technology market and, to meet this need, it has increasingly adopted the third-party IP model.

Key industry trends underlying these changes include the growth of data centres, the proliferation of artificial intelligence of things (AIoT) devices, the growth of AI at the edge, development in and widespread use of 5G and other wireless technologies, and the adoption of ray tracing as a new and disruptive GPU technology.

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