Siemens has signed an agreement to acquire Precision Innovations Inc. Precision Innovations is a privately held Electronic Design Automation (EDA) software company. This acquisition will enhance Siemens' EDA portfolio with AI-driven chip planning capabilities, empowering semiconductor teams to optimize PPA (Power, Performance, and Area) early in the SoC (System on Chip) design flow.
Developing EDA software based on the open-source OpenROAD framework, Precision Innovations helps semiconductor teams evaluate design feasibility, reduce design iterations, and shorten time-to-market amid the growing complexity of SoCs. This acquisition adds AI-driven chip planning and design exploration capabilities to the Siemens EDA portfolio, enabling more efficient feasibility analysis and data-driven downstream decision-making, and further strengthening Siemens' existing digital design and verification solutions.
Upon joining Siemens, Precision Innovations will become an integral part of the Digital Design Creation platform. It will complement existing digital design and physical implementation capabilities, creating a comprehensive end-to-end digital flow that covers SoC architecture planning, design implementation, and full-chip lifecycle management.
Ankur Gupta, Executive Vice President of the IC Portfolio at Siemens EDA, stated, "As SoC complexity increases rapidly, customers need more efficient ways to explore next-generation architectures. The addition of Precision Innovations will further enhance our ability to support customers in addressing these challenges. By integrating Precision Innovations' AI-driven early design exploration capabilities into the Siemens EDA portfolio, we can significantly reduce tape-out timelines and optimize PPA performance."
Precision Innovations' solutions have been adopted by multiple leading semiconductor and technology companies, significantly complementing the capabilities of Siemens' existing EDA products in digital design and verification workflows. By combining Precision Innovations' technology with Siemens' broader EDA portfolio, Siemens will help customers address growing design complexity, shorten development cycles, and improve engineering R&D efficiency.
Tom Spyrou, CEO of Precision Innovations, said, "Joining Siemens will help us further expand our technological reach, enabling AI-driven chip planning capabilities to serve a broader range of semiconductor design teams. Together, we can help designers leverage AI to evaluate thousands of design options early in the design flow, allowing them to focus innovation resources on core value creation."
Founded in 2019 in San Diego, California, USA, Precision Innovations is committed to democratizing hardware design technologies. By lowering cost barriers, bridging the expertise gap, and reducing uncertainties in the design process, the company aims to foster the development of an innovative ecosystem for semiconductor design.
The transaction remains subject to customary closing conditions and is expected to be completed in the third quarter of 2026. Financial terms of the transaction were not disclosed.