Arm Holdings has signed a definitive agreement to divest its Artisan foundation IP business to Cadence. The deal includes standard cell libraries, memory compilers, and general-purpose I/Os (GPIOs) that are optimised for advanced process nodes at key foundries.
Under the terms of the agreement, Cadence will complete the acquisition through an asset purchase deal, accompanied by a concurrent technology licence agreement. The transaction is expected to close in the third quarter of this year, subject to regulatory approvals and other customary closing conditions. Cadence said that the deal is not expected to have a material impact on its revenue or earnings in the current fiscal year.
Cadence to integrate Artisan IP into existing portfolio
Cadence, which develops software, hardware and IP used in chip and system design, said the acquisition would enhance its existing offerings of design IP assets. It currently includes a portfolio of protocol and interface IP, memory interface IP, SerDes IP at advanced nodes, and embedded security IP from the pending acquisition of Secure-IC.
By integrating the Artisan foundation IP into its offerings, Cadence aims to increase its presence in system-on-chip (SoC) design and enhance customer support in reducing time to market while optimising cost, power and performance. Additionally, the acquisition will bring a team of engineers from Arm into Cadence, which is expected to support the development of current and future IP offerings.
“During its 25-year history, Arm’s Artisan IP has established a strong presence and reputation in the global ecosystem of foundries and SoC partners,” said Cadence Silicon Solutions Group senior vice president and general manager Boyd Phelps. “With the expected addition of the Artisan IP business and team, Cadence will enter the foundation IP market, enabling us to capitalise on new growth opportunities. In doing so, we will gain key technology and expertise to augment our design services and chiplet offerings, enabling us to deliver on our comprehensive IP strategy and provide greater value to our customers.”
“We are committed to ensuring that the foundational physical IP needed to deploy Arm technology across all markets continues to be available to the ecosystem,” said Arm Solutions Engineering executive vice-president Kevork Kechichian. “The Artisan brand is well established and we believe this technology will continue to play a significant role in the semiconductor industry in the future, and that Cadence is an ideal partner to take it forward.”
Last month, Malaysia signed a $250m agreement with Arm to boost semiconductor production. The collaboration will provide local Malaysian manufacturers with advanced chip designs and technological expertise.
Read more: Arm adjusts full-year revenue forecast despite Q3 FY25 growth
