|Charlie Huang, Ph.D.
Senior Vice President, Worldwide Field Operations
Cadence Design Systems Inc.
1. What are the global semiconductor trends in 2011?
Long-term business trends for semiconductors seem positive,
with revenue projected by some industry analysts to grow more
than twice as fast as global GDP over the next few years. But
in the near term, volatility is expected as new macroeconomic
issues weigh on consumer and IT outlay.
The semiconductor industry is seeing more consolidation due to
staggering capital costs for advanced technology and the
switch to 300mm silicon. Along with that trend, there has been
an acceleration of the foundry model for chip making rather
than the IDM approach of both design and manufacturing. A
larger percentage of chipmakers are now choosing to either be
fabless or “fab-lite” because foundries are providing
high-quality, advanced-technology devices at competitive
prices. Finally as we have been saying since we announced our
EDA360 vision, the competitive differentiation for chipmakers
today is found increasingly in design, eco system enablement
and software readiness.
In the past, electronics systems companies or OEMs would
differentiate through hardware. Today, they can and often do
differentiate and get value through “apps.” Not only in mobile
devices, but anywhere there are processors. (And most IC
designs today incorporate multiple processors.)
To support this approach and meet their own time-to-market
goals, systems companies demand that their semiconductor
suppliers provide not just silicon but application-ready
This means that semiconductor companies must increasingly
address the challenges of increased product complexity, more
software content, greater use of IP, and of course, ever
shorter time-to-market windows.
Employing our EDA360 strategy, we are helping customers
address escalating complexity in several ways. At the silicon
level we are constantly adding new technologies to our Silicon
Realization solutions to handle gigahertz, giga-gates,
low-power, and mixed-signal designs at advanced nodes. For SoC
Realization, our IP portfolio helps customers create SoCs more
quickly and reliably. And at the System Realization level, the
Cadence System Development Suite and other system-level tools
enable customers to begin hardware-software integration and
verification long before real silicon is available.
Collaboration is an essential strategy for all players in the
ecosystem to meet shrinking time-to-market deadlines. We have
increased our efforts with leading foundries and IP suppliers
on programs to support advanced processes, qualify IP, and
deliver services that help our semiconductor customers speed
designs into manufacturing.
2. What would be the key market drivers in 2012?
Costs have gone up by almost 30% from last year. This has been
due to the following There are several key trends driving
growth in the market today and we expect these to also be key
market drivers in 2012. They include: apps, video, mobility,
cloud computing and green technology.
The need to have apps on your electronic devices is driving
new generations of products. Traditional devices do more jobs
than before – mobile devices such as smart phones or tablets
have the ability to email, tweet, text, browse the web, stream
video, take pictures, calendar appointments, and manage your
contacts. Today’s televisions, game consoles, home appliances,
network switches, and even industrial controllers have apps
now. Some of those apps are streaming video as seen on YouTube
or in real-time 2-way video for phone calls. Not only are apps
everywhere, but they are changing the demands on electronic
Video drives development of both devices and networks. It is
expanding from the television to the Smartphone, to media
tablets, to your wristwatch. And it is not just about watching
movies and video clips; there are also videoconferences,
surveillance systems, non-professional video blogs, and other
content. Just look at how young people incorporate video into
their daily routines.
Probably the most pervasive change in electronics recently has
been the trend to make everything mobile. Nowadays we expect
to have the same information, tools, and capabilities in the
car or at the airport that we have in the office. We want to
remain connected – GPS data, driving directions, and car
status when we are driving; flight status while we on the
plane. Along with mobility, we also want long battery life,
light weight, small size, and lots of communications options.
This is a market driver that makes lots of demands. Closely
connected to mobility is the trend towards cloud computing.
The cloud of network servers and backbone equipment is what
delivers much of the content and value to all of those mobile
devices. Some studies claim the cloud needs to add a new
server for every 100-or-so Smartphones that are added to the
And all of these trends are affected by the drive towards
green technology – the crossroads of performance and power
conservation. For example, data centers that make up the cloud
require high performance, but some analysts claim they already
use 2% of the world’s power generation and are growing at
around 12% per year. Both wired and wireless devices must be
designed to use less power, although to different degrees and
for different reasons. Nevertheless, low-power design has
become a universal requirement for the devices we use every
3. What part does India play in the overall technology
strategy and marketing strategy of Cadence?
We measure our success based on how well we serve our
customers. Cadence has supported India’s high tech industry
since its early days. We opened our first office there in
1987. Cadence views India as an important and strategic
“center of excellence” for the company. The operations have
steadily grown over the past 20 plus years and Cadence has
offices in Noida, Bangalore and Hyderabad. Our R&D facility in
Noida – the largest outside of the US – is working on advanced
technologies. Our operations in India support a number of
Cadence global customers that have a substantial presence in
India, aligning with the Cadence belief of being located close
to our customer base.
Profile: Huang is a veteran of the electronic design
automation industry, with experience as a CEO, entrepreneur,
technologist, and manager. Since joining Cadence in 2001
through the successful acquisition of CadMOS, where he was
co-founder and CEO, he has held a series of responsibilities
in R&D, marketing, strategic investment, and merger and
acquisition. In 2004 and 2005, Huang was also a General
Partner at Telos Venture Partners.
Before co-founding CadMOS, Huang was vice president of R&D at
EPIC Design Technology and later became Vice President of R&D
in the EPIC Technology Group of Synopsys.
Huang holds Bachelor of Science degrees in electrical
engineering and computer science from Shanghai Jiao Tong
University, and an MSEE and Ph.D. in electrical engineering
from Carnegie Mellon University. Huang serves on the Board of
Directors of Parade Technologies, Ltd., a fables supplier of
mixed-signal IC’s for display and high-speed interface