Magma Design Automation
Template:Short description Template:Use American English {{#invoke:Infobox|infobox}}Template:Template otherTemplate:Main other{{#invoke:Check for clobbered parameters|check|nested=1|template=Infobox company|cat=Template:Main other|name; company_name|logo; company_logo|logo_alt; alt|trade_name; trading_name|former_names; former_name|type; company_type|predecessors; predecessor|successors; successor|foundation; founded|founders; founder|defunct; dissolved|hq_location; location|hq_location_city; location_city|hq_location_country; location_country|num_locations; locations|areas_served; area_served|net_income; profit|net_income_year; profit_year|owners; owner |homepage; website }}{{#invoke:Check for unknown parameters|check|unknown=Template:Main other|preview=Page using Template:Infobox company with unknown parameter "_VALUE_" | ignoreblank=y | alt | area_served | areas_served | assets | assets_year | aum | brands | company_logo | company_name | company_type | defunct | dissolved | divisions | embed | equity | equity_year | fate | footnotes | former_name | former_names | foundation | founded | founder | founders | genre | homepage | hq_location | hq_location_city | hq_location_country | incorporated | image | image_alt | image_caption | image_size | image_upright | income_year | industry | ISIN | key_people | location | location_city | location_country | locations | logo | logo_alt | logo_caption | logo_class | logo_size | logo_upright | members | members_year | module | name | native_name | native_name_lang | net_income | net_income_year | num_employees | num_employees_year | num_locations | num_locations_year | operating_income | owner | owners | parent | predecessor | predecessors | production | production_year | products | profit | profit_year | rating | ratio | revenue | revenue_year | romanized_name | services | subsid | successor | successors | traded_as | trade_name | trading_name | type | website| qid | fetchwikidata | suppressfields | noicon | nocat | demo | categories }} Magma Design Automation was a software company in the electronic design automation (EDA) industry. The company was founded in 1997 and maintained headquarters in San Jose, California, with facilities throughout North America, Europe and Asia. Magma software products were used in major elements of integrated circuit design, including: synthesis, placement, routing, power management, circuit simulation, verification and analog/mixed-signal design.
Magma was acquired by Synopsys in a merger finalized February 22, 2012 at a cash value of about $523 million, or $7.35 per share.<ref>"Synopsys Completes Acquisition of Magma Design Automation,” February 22, 2012 [1]</ref>
HistoryEdit
Magma was founded in 1997 by a team including Rajeev Madhavan, who was chairman, CEO and president from the company's inception.<ref>Securities and Exchange Commission Form S-1, Amendment No. 7, November 19, 2001, (page 49) [2]</ref> The company initially competed primarily with Cadence and Avanti Corporation in physical design but eventually broadened its product portfolio and competed with all three of the largest established EDA companies: Cadence, Mentor Graphics and Synopsys.<ref>EDA Confidential, July 14, 2005</ref> Magma had a particularly strong presence in the convergence device segment through key customers such as Qualcomm, Broadcom and Texas Instruments.<ref>“EDA Industry Update,” March 24, 2009</ref> In 2001 Roy Jewell joined Magma as chief operating officer and later that year added the title of president.<ref>Securities and Exchange Commission Form S-1, Amendment No. 7, November 19, 2001, (page 49) [3]</ref>
Magma completed an initial public offering on Nasdaq, under the ticker symbol LAVA, on November 20, 2001<ref>“Magma IPO up 46%”, CNN Money, November 20, 2001</ref> — the last EDA company to go public<ref>"The First EDA IPO in a Decade," Seeking Alpha, May 16, 2011</ref> — and achieved its peak annual revenue of $214.4 million in its 2008 fiscal year.<ref>“Magma Reports Revenue of $214.4 million for Fiscal 2008, 20.4 Percent above Prior Year,” May 1, 2008 at SEC archive [4]</ref> Magma was the fourth largest EDA company by revenue.<ref>Based on Annual Reports on Form 10-K filed with U.S. Securities and Exchange Commission</ref>
In 2002 Magma was named to the Red Herring 100 for innovation and business strategy.<ref>“Magma Named to the Red Herring 100; Recognized by Red Herring Editors for Innovation and Business Strategy,” May 13, 2002 [5]</ref> In 2005 Forbes ranked Magma No. 2 on its list of fastest-growing technology companies.<ref>“Technology’s Growth Champs,” Forbes, February 14, 2005</ref>
Patent DisputeEdit
Magma was involved in a legal dispute with Synopsys beginning in September 2004, when Synopsys sued Magma for allegedly infringing two patents.<ref>”Synopsys sues Magma for patent infringement,” EE Times, September 17, 2004 [6]</ref> Claims and counter-claims accelerated, resulting in separate court cases in California and Delaware, and a number of disputed patents. On March 29, 2007, Magma and Synopsys announced the companies had agreed to settle all pending litigation between them. As part of the settlement Magma made a $12.5 million payment to Synopsys and each company cross-licensed four previously disputed patents to the other.<ref>”Patent resolution removes cloud over Magma,” EE Times, March 30, 2007</ref>
Synopsys AcquisitionEdit
On November 30, 2011, Magma and Synopsys announced they had entered into a definitive agreement by which Synopsys would buy Magma for $507 million US$.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The merger was finalized on February 22, 2012, with cash value of the transaction at about $523 million, or $7.35 per Magma share.<ref>"Synopsys Completes Acquisition of Magma Design Automation,” February 22, 2012 [7]</ref>