"Synopsys said it would eliminate approximately 10% of its global workforce as the chip design software company integrates its $35 billion acquisition of engineering simulation firm Ansys. This move could affect up to 2,800 employees. The Sunnyvale, California-based company disclosed the restructuring plan in a Securities and Exchange Commission filing on November 12, stating that the cuts would enable it to "invest in key growth opportunities and drive business efficiencies" following the Ansys deal, which closed in July."
"The combined workforce totaled approximately 26,500 employees as of the companies' most recent financial reports. Synopsys had about 20,000 employees at the end of fiscal 2024, according to the company's annual report, while Ansys employed 6,500 people as of December 31, 2024, according to its 10-K filing. The company said it expected to incur pre-tax charges ranging from $300 million to $350 million for severance, termination benefits, and site closures."
""A 10% workforce reduction following a $35 billion acquisition sits at the upper bound of what we consider typical for enterprise software and semiconductor tooling deals, but it is not surprising given the scale and ambition of this integration," said Sanchit Vir Gogia, chief analyst and CEO at Greyhound Research. "This is not a distress signal. It is a tightly controlled attempt to compress multi-year synergy extraction into the first 18 months of ownership.""
Synopsys will cut roughly 10% of its global workforce—about 2,800 jobs—while integrating its $35 billion acquisition of Ansys. The restructuring was disclosed in an SEC filing on November 12 and aims to enable investments in growth opportunities and drive business efficiencies. The combined workforce totaled about 26,500, with Synopsys at roughly 20,000 employees and Ansys at 6,500. Synopsys expects pre-tax charges of $300–$350 million for severance, termination benefits, and site closures. Most reductions are expected during fiscal 2026, with the restructuring substantially complete by the end of fiscal 2027. The company did not specify affected geographies or functions.
Read at Computerworld
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