Renesas Bets $6 Billion on Altium Purchase to Boost AI Capabilities
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Japanese chip maker Renesas is acquiring software company Altium to boost its capabilities in AI and electronic design automation (EDA) software.
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The acquisition comes amid a wave of consolidation in the EDA software industry, with Synopsys announcing a merger with Ansys and Cadence revealing a new supercomputing platform.
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Renesas is paying a premium $6 billion for Altium, which had just $139 million in revenue last year.
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The move positions Renesas to capitalize on rising demand to embed AI capabilities across cars, factories, consumer electronics and more.
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Combined with its strengths in manufacturing and partnerships (like with Wolfspeed), Renesas could become a hidden growith stock in the AI race.