A research report released by China Galaxy Securities highlights that the domestic Electronic Design Automation (EDA) sector is currently experiencing a unique period of convergence, fueled by favorable policy environments, significant technological advancements, and a surge in market demand. In the near term, the industry is poised for accelerated domestic substitution and increased merger and acquisition activities. Looking ahead to the medium term, the focus will shift towards achieving comprehensive coverage across the entire design process and harnessing the power of AI technology to enhance capabilities. In the long run, the domestic EDA industry is expected to capture a larger share of the global market. Investors are advised to recognize the long-term investment potential of key players within the industrial chain.
