Mentor Graphics is a leading supplier of products and services used by companies worldwide in the design of the electronic content of their products. Mentor Graphics is providing solutions for both the hardware components (the chips and boards) and the software components (the embedded operating systems and applications/drivers that control the product's operation). The company is listed at the NASDAQ. Mentor Graphics made 880 million USD revenue in fiscal year 2008 (ending January 31).
Mentor Graphics has its headquarters in Wilsonville, Oregon and has 4,450 employees worldwide. The company offers solutions for electronic design automation (EDA) to a global customer base in the electronics industry. The products are used in the design of different electronic products including automotive electronics, video game consoles, digital cameras, cellular telephones, computer network hubs and routers, personal computers and Bluetooth products..
The companies fiscal year starts February 1 of the previous year and ends January 31. Until 2006 the fiscal year was the calendar year. January 2007 was reported separately in the annual report 2008 with a significant loss. For better comparison and to avoid hiding the negative result January 2007 and FY 2008 (13 months) are shown as 2007* in the diagrams. The company is reporting according to the US GAAP standard. Reporting currency is USD. Mentor Graphics reported revenues of 789 million USD in 2009 and a net loss per share of 0.97 USD.
All activity of the company is dedicated to assist customers in the development of electronical products (hardware and software).
Mentor Graphics provides tools for solving the increasingly complicated problems of verifying that complex chip designs actually function as intended. Functional errors at the system level are the leading cause of design revisions affecting time to market and profitability.
The handoff between integrated circuit (IC) layout and manufacturing has changed from a simple check to a multi-step process where the layout design must be enhanced to ensure efficient manufacturing. This presents a host of challenges related to manufacturing process effects, photolithography, data volumes, and achieving a cost-effective yield of finished chips from each wafer. The companies design-to-silicon platform includes physical verification, full-chip, transistor-level parasitic extraction, model-based design for manufacturability (DFM) solutions, mask data preparation (MDP) and resolution enhancement technologies (RET), such as optical proximity correction and other computational lithography techniques. Mentor Graphics is also offering tools for the automatic generation of test programs to help customers efficiently screen complex devices to identify the new types of failures, while simultaneously reducing the cost of test
Mentor Graphics is the market and technology leader in PCB (printed circuit board) design, providing many of the world’s largest system design companies today with a range of scalable design solutions to reduce the time, cost and risk of electronic system design.
Mentor Graphics offers a range of leading-edge solutions being used by OEMs and wire harness manufacturers throughout the world. The company is supporting a structured engineering process for the development of distributed control systems as well.
Mentor Graphics is the only EDA company to offer design solutions for embedded software. The simultaneous development of hard- and software enables a "design-in" reliability so that good architectural decisions can be made in both hardware and software development.
Mentor Consulting is an expert in electronic design infrastructures and methodology services and is the only service partner in the industry that invests in the transfer of knowledge to its customers. Their solutions are used worldwide by forward-looking electronics companies to optimize design productivity and advance adoption of the latest industry design best practices. Education Services is focused on developing and delivering quality training to help customers assimilate new tools and technologies into their design environments, increasing productivity and ensuring success in the marketplace.
EDA is an important enabler to support fast product development cycles in the electronics industry. Chips with high functionality, multiple operating modes, low power consumption and extreme reliability—are pushing the manufacturing process to the limit. Requirements for enhancement of the EDA tools are growing with a similar speed as the improvements of the customers electronic products.
The current downturn is impacting investment decisions on new product programs in the customer industry and is creating pressure on profit margins and revenues. It may also impact the structure of the electronics industry regarding market shares, geographical distribution, and size of the companies.
Main competitors are Cadence Design Systems (CDNS), Magma Design Automation (LAVA), and Synopsys (SNPS). ANSYS (ANSS) which is a leading engineering software supplier aquired Ansoft (ANST) a developer of EDA software in July 2008. There are many smaller companies competing with innovative ideas.