Synopsys to Exit Chip Manufacturing Control Software Business in AI Design Pivot

Jul 7, 2026

Chip design giant Synopsys is discontinuing its manufacturing process control software, including the EES and FDC products, to pivot resources toward higher-margin AI design. The company has notified customers like Samsung and SK Hynix of the "end of life" move. While some sources fear an impact on production yields, Samsung states it has developed in-house alternatives and expects no negative impact.

Manufacturing software discontinuation

▪The "end of life" plan means Synopsys will stop providing new versions and only fulfill existing maintenance obligations.
▪The discontinued products include the Equipment Engineering System (EES) and Fault Detection and Classification (FDC).
▪U.S. chip design firm Synopsys plans to stop offering a suite of manufacturing process control software.
▪In April and May, Synopsys informed over 10 chipmakers, including Samsung, SK Hynix, Kioxia, and Qorvo, of the "end of life" move.
▪Synopsys has laid off a few dozen staff as part of the move.

AI design pivot strategy

▪Synopsys is discontinuing the software to reallocate resources to higher-margin areas such as AI design.
▪In March, Synopsys introduced a technology it said would enable AI agents to take over many chip creation tasks.

Production yield concerns

▪Some sources suggested the software's removal could cause declines in production yields, while others did not expect an impact.
▪A Samsung spokesperson stated the company had established alternatives and there would be "no negative impact on production."

In-house development trend

▪One reason for the discontinuation was that enhancing the EES service required chipmakers to share tightly-held manufacturing data.
▪The move comes as some chipmakers, including Samsung, are increasingly developing their own in-house manufacturing software.

Customer migration plans

▪Synopsys plans to conclude talks with each chipmaker regarding maintenance obligations by July.
▪A Samsung spokesperson confirmed active discussions were underway with Synopsys about the product's discontinuation.

Synopsys product portfolio evolution

▪Synopsys acquired the EES product when it purchased semiconductor solutions from South Korean firm BISTel in 2021.
▪Synopsys described the discontinued software as "older diagnostic tools not in our customers' critical paths of production."
▪In 2025, Synopsys completed its $35 billion acquisition of engineering software firm Ansys.