IP challenges, and potential opportunities A Global Standards POV

1. IP challenges, and potential opportunitiesA Global Standards POV April 2008 WWW.IMPROVSYS.COM • sales@IMPROVSYS.COM • PHONE: 978-927-0555 Victor Berman

2. The Promise of IP Based Design • Cost • Drastically reduced cost based on high levels of re-use • Reduce in house staff • Time to Market • Drastically cut design cycle times with re-use and outsourcing • Predictable schedules • Reduce variance by using verified sub-systems • Solve the verification bottle neck • Focus on core strengths • Out source commodity building blocks • Focus on key product differentiators (Secret Sauce)

3. The Reality of IP Based Design • Cost • Re-use hog-tied by lack of sound methodology for configurability • Lack of quality standards impedes use of low cost solutions • Time to Market • Complexity of selection process delays overall schedules • Promised reduction in system verification is often illusory • Predictable schedules • Physical design issues frustrate plans • Concentrate on core strengths • Increased project management requirements absorb resources • Failure of third party components require in house retrofits

4. The Issue of Developing Markets • High growth markets and low cost production increasingly in China, India etc. • IP infrastructure not mature • Lack of training is major problem • IP protection is a work in progress • Market penetration requires in country resources • Government regulations favor locally owned businesses • Difficult for foreign nationals to navigate the network • Lack of experienced staff puts schedules at risk • Management issues distract from core strengths

5. The Path Forward • Standards can help and grow business • Increase predictability of functionality • Reduce procurement times • Reduce cost of sales • Reduce integration time and effort • Reduce verification expense • And therefore improve • Cost • Time to Market • Predictability of schedules • Ability to Concentrate on core strengths

6. Current Standards View • Functional Standards Very Successful • 802.11 enabled a world wide market • Working Group chair Vic Hayes received IEEE Steinmetz Award • Highest technical honor from IEEE-SA • Include procedures for verification • Methodology Standards Lagging • Multiple efforts from uncoordinated groups • No clear overall plan, roadmap, or priority • Recent consolidation at IEEE good first step

7. Changes in the Market • IP Complexity Growing • More processor based IP • Highly configurable • Multi-processor, complex software • Hardware/Software allocation & optimization critical • Global Markets are the fastest growing segment • China, Korea, Japan, India not in loop for standards development • Need global coordination and education • Power and DFM, DFT, DFY becoming dominant design factors • Standard design flows needed to transmit data between stages • Conventions for BOM, File Structure, Test Plans, Docs….needed

8. Report Card – To DO List • Standards are scattered • No overall plan • Emerging Markets are not in the loop • Global standards are chaotic • Current standards do not support strong market growth and new complexity • No standard delivery mechanism and naming • No standard approach to test – self test, integration, performance • Consolidation around IEEE gives a good focus • This raises many issues – control, funding, marketing, road map • Language Standards benefit from Accellera/IEEE relationship • FSA/GSA good candidate to do the same for IP

9. Potential Areas for Standardization • Functional descriptions • Quality • Performance Benchmarks • Documentation • Verification • Interfaces • Software • Tool support and integration • Physical Implementation guidelines • Library formats • Naming conventions for delivery

10. Industry Needs • Roadmap • Prioritization • ROI analysis • Industry involvement and buy-in • Industry Feedback • Education and proliferation • Standardization process in place • User driven, well understood, timely • Funding mechanism • Outreach to emerging markets