Marlboro, MA - July 31, 2000 - Innoveda, Inc. today announced that it has signed an agreement with Synopsys, Inc. in which Synopsys will acquire Innoveda's Virsim electronic design software tool and related assets for a purchase price of U.S. $7 million.
Virsim is used as a debugging and analysis environment with hardware description language simulators including the Synopsys' VCS Verilog simulator.
The purchase is subject to customary closing conditions. Both companies expect the purchase to be completed in the next several days.
Previously, Synopsys licensed Virsim from Innoveda on an Original Equipment Manufacturer (OEM) basis. Innoveda will retain rights to the product source code and plans to integrate the functionality of Virsim with its suite of verification tools. Other Virsim OEM agreements will be transferred to Synopsys. Innoveda customers who purchased Virsim bundled with other products from the company will have continued support from Innoveda and will be transitioned to an integrated version of the technology over time.
"Virsim is no longer a strategic product for us and now competes in a market crowded with competition," said Will Herman, Innoveda president and CEO. "This agreement works well for Innoveda. It supports our strategic focus of delivering integrated solutions for system-level design by eliminating OEM support while allowing us to retain the technology for future products and improving our cash position."
Innoveda will be reducing its revenue targets for the balance of the year by approximately US $1.2 million due to the elimination of revenue from the tool's royalties.
The tool provides an integrated set of debug and analysis capabilities for use with Verilog and VHDL simulators on Unix and Windows platforms. The tool has an intuitive user interface that enables designers to interactively analyze large amounts of simulation data. The tool's database is compatible across all platforms, enabling simulations on a Unix server and analysis of results on a PC.
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