Antrim serves some 50 corporate accounts, including many major semiconductor manufacturers, with technology for analog behavioral characterization, circuit optimization, and physical optimization.

The sources said that negotiations are underway to acquire the company's technology and to hire some of the employees most closely connected to Antrim's product development. While there was intense EDA industry speculation about an Antrim "liquidation" during the past week, that's not really the case, these sources said. There is no official confirmation from the company.

The identity of the acquiring company is not known, but Cadence Design Systems was in discussions to acquire Antrim a year ago and is likely to again be in the running, according to industry observers. Antrim offers links between its products and Cadence's Composer and Analog Artist tool suites.

Antrim's products include OmniSim, a mixed-signal simulator; Aptivia, which provides automated analysis, characterization, and verification; Synthesis and Optimization, which automates the creation of analog intellectual property (IP); DCM, which provides characterization and modeling; and RAD, an analysis and display product.

Founded in 1997, Antrim received a $15 million investment in 2000 from Intel and other private investors. The company has around 40 employees, down from 70 in 2000.