Cadence and NVIDIA Unveil Accelerated Engineering Solutions Purpose-Built for Agentic AI Chip and System Design​

Key Terms

integrated circuit (ic) technical

A small electronic chip that packs many tiny circuits — transistors, resistors and connectors — onto a single piece of silicon to perform computing, control or signal tasks. Like a tiny city of electrical parts doing coordinated work, integrated circuits are the core components of phones, cars, servers and industrial machines; their cost, performance and availability strongly influence product features, production costs, profit margins and growth prospects for companies that design, make or rely on electronic devices.

gpu technical

A GPU (graphics processing unit) is a specialized computer chip designed to handle many calculations at once, originally for rendering images and video but now widely used for tasks like artificial intelligence, data analysis and high-performance computing. Investors watch GPU demand and prices because strong sales often signal growth for chip makers and their customers, affect profit margins and capital spending, and can forecast wider trends in gaming, AI adoption and cloud services.

cuda-x technical

Cuda-X is a computer technology designed to significantly speed up complex calculations and data processing tasks by using advanced hardware and software techniques. For investors, this means faster and more efficient analysis of large amounts of information, potentially leading to quicker decision-making and a competitive edge in markets. Think of it as upgrading from a bicycle to a high-speed train for handling demanding digital workloads.

system design automation (sda) technical

A system design automation (SDA) tool is software that automates the planning, layout and testing of complex technical systems — like chips, industrial control systems or networks — by turning design rules and objectives into repeatable digital workflows. For investors, SDA matters because it speeds development, cuts engineering errors and lowers production costs, which can shorten time to market and improve profit margins much like a factory robot makes assembly faster and cheaper.

cfd technical

A CFD (contract for difference) is a financial agreement that lets an investor profit from the change in an asset’s price without actually owning that asset — like betting on a car’s value rising or falling without buying the car. It matters because CFDs use leverage, which can amplify gains and losses and allow easy access to different markets, so they change an investor’s potential return and risk profile and can lead to rapid losses if prices move unfavorably.

digital twin technical

A digital twin is a live virtual replica of a physical asset, process, or system that mirrors real-world behavior using data and models so users can test changes, predict problems, and measure performance without touching the real thing. For investors, digital twins matter because they can lower maintenance costs, speed product development, improve uptime and reliability, and make future cash flows and risks easier to forecast — like using a flight simulator to safely train and tune a real airplane.

New agentic integrated circuit (IC) and physical AI accelerated solutions enable engineers to solve previously impossible chip, system and AI factory challenges

SAN JOSE, Calif.--(BUSINESS WIRE)-- Today, Cadence announced an expansion of its broad collaboration with NVIDIA to accelerate Cadence’s Design for AI and AI for Design strategy. The next generation of agentic AI design solutions includes autonomous, long-running agents that require accelerated, trusted, physics-grounded engines to translate design intent into automated flows, generate designs and debug errors, and manage long, complex, end-to-end workflows. Cadence’s leadership in agentic AI is expanded by integrating its portfolio of industry-leading chip and system design solutions with NVIDIA’s accelerated computing stack.

“The fusion of agentic AI and physics-based design is transforming how the world’s most advanced chips are engineered,” said Anirudh Devgan, president and CEO of Cadence. “Through our expanded collaboration with NVIDIA, we’re bringing together Cadence’s expertise in agentic IC design and physics-driven optimization with NVIDIA’s accelerated computing to advance a new era of AI-driven chip innovation. Together, we’re enabling customers to design more intelligent, efficient silicon that will power the next generation of computing and AI infrastructure.”

“AI is driving the largest infrastructure buildout in history—spurring the creation of new chips, systems, and AI factories around the world,” said Jensen Huang, founder and CEO of NVIDIA. “Together, NVIDIA and Cadence have created the Cadence Millennium M2000—a revolutionary AI supercomputer built to tackle the immense scale and complexity of designing the world’s next generation of infrastructure.”

Broadest-Ever Portfolio of Accelerated Design Solutions

To give agents and engineers the tools they need, Cadence has expanded its design solutions accelerated with NVIDIA Grace CPUs and NVIDIA Blackwell GPUs—and as a turnkey deployment on the Cadence^® Millennium^™ M2000 Supercomputer—delivering up to 80X greater throughput and up to 20X lower power consumption. This expanded offering now spans analysis, optimization and design, with key solvers deeply optimized with NVIDIA CUDA-X. One example is the Cadence Clarity^™ 3D Solver demonstrating that a Millennium M2000 system configured with 8X NVIDIA RTX pro 6000 GPU servers is up to 5X faster, or 4X better cost iso-performance, compared to an equivalent CPU-based solution, when extracting complex and large-scale designs.

Cadence accelerated solutions that will be available in 2026 include:

• Electronic Design Automation (EDA): The industry’s leading place-and-route solution, Innovus^™ Implementation System; chip, chiplet and 3D-IC analysis and optimization with Celsius^™ Thermal Solver and Voltus^™ IC Power Integrity Solution; advanced memory and circuit analysis with EMX^® Planar 3D Solver and Liberate^™ MX Memory Characterization; and Spectre^® X Simulator and Quantus^™ Field Solver for circuit analysis.
• System Design Automation (SDA): Industry-leading advanced package and PCB optimization with the Allegro^® X Design Platform, Clarity 3D Solver, Celsius EC Solver; system-level multiphysics analysis with Fidelity^™ CFD Software; and Cadence MSC Actran^™ for physical AI system analysis and optimization.
• Life Sciences / Bio: ROCS X is an AI-enabled virtual screening solution that enables scientists to conduct 3D searches of over 200 trillion drug-like molecules. Target X is a physics-based AI solution that detects potential druggable pockets, achieving a success rate of over 90%.

The Cadence Allegro X Design Platform and the Cadence Reality^™ Digital Twin Platform also integrate with NVIDIA Omniverse libraries for photo-realistic visualization, critical for multi-disciplinary engineering and design. Cadence’s MSC Virtual Test Drive^™ (VTD) is being integrated with NVIDIA Cosmos and NVIDIA Omniverse NuRec for advancing the state of the art in physical AI.

Design for AI and AI for Design

Industry leaders use Cadence’s full suite of accelerated agentic solutions to design the next generation of AI infrastructure. The Cadence Reality Digital Twin Platform helps teams use physics-based models and AI to design and operate AI factories, accelerating deployment timelines and unlocking new revenue streams across the data center portfolio.

Cadence is advancing AI-driven engineering with its agentic AI solutions, led by the Cadence ChipStack^™ AI Super Agent, to help engineers deliver higher quality, more complex designs. Cadence and NVIDIA are also collaborating on future agentic AI innovations in custom and analog design and building deep research and long-running agents for engineering NVIDIA NemoClaw, an open source stack that simplifies running OpenClaw always-on assistants, more safely, with a single command. As part of the NVIDIA Agent Toolkit, it installs the NVIDIA OpenShell runtime—a secure environment for running autonomous agents, and open source models like NVIDIA Nemotron.

From Silicon to Turbofan Engines, Customers Achieve the Previously Impossible

Cadence customers across semiconductors, automotive, aerospace and life sciences are using agentic AI, GPU-accelerated solutions and the Millennium M2000 Supercomputer to tackle design challenges that are not achievable with traditional approaches.

Honda is using Cadence Fidelity CFD Software, accelerated on the Millennium M2000 GB200 NVL72 system, to pursue time-accurate, full turbofan engine simulation—a grand challenge in computational fluid dynamics (CFD) previously impractical for routine design use.

"This capability opens the door to a more exploratory design methodology—one where our engineers can evaluate tradeoffs earlier and innovate with greater confidence as we develop the next generation of high-performance gas turbine engines," said Keiji Otsu, CEO, Honda R&D.

Micron is integrating GPU-accelerated Cadence design technologies and Cadence's agentic AI solution directly into its HBM memory design flow to accelerate iteration and maintain accuracy at leading-edge scale.

“As our HBM and next-generation memory designs grow in scale and complexity, reducing the cycle time for our most demanding verification and simulation steps has become essential,” said Sanjay Mehrotra, Chairman, president and CEO, Micron. “Through our expanded collaboration with Cadence, we’re integrating GPU-accelerated design technologies—powered by NVIDIA computing—and building agentic AI directly into our development environment.”

Larsen & Toubro Semiconductor is using the Cadence Spectre X Simulator, accelerated up to 5X with NVIDIA GPUs, to shorten design cycles for next-generation AI and data center chips as the company advances India's sovereign semiconductor ambitions.

"Faster design iteration and verification directly translate into competitive advantage and time to market for the highly customized AI silicon we're building," said Sandeep Kumar, CEO, Larsen & Toubro Semiconductor. "GPU-accelerated performance from Cadence’s Spectre X Simulator gives our teams the throughput to confidently move complex, AI-ready chips into production faster."

For more information, visit https://www.cadence.com/en_US/home/company/nvidia.html.

CATEGORY: FEATURED

About Cadence

Cadence is a market leader in AI and digital twins, pioneering the application of computational software to accelerate innovation in the engineering design of silicon to systems. Our design solutions, based on Cadence’s Intelligent System Design^™ strategy, are essential for the world’s leading semiconductor and systems companies to build their next-generation products from chips to full electromechanical systems that serve a wide range of markets, including hyperscale computing, mobile communications, automotive, aerospace, industrial, life sciences and robotics. In 2024, Cadence was recognized by the Wall Street Journal as one of the world’s top 100 best-managed companies. Cadence solutions offer limitless opportunities—learn more at www.cadence.com.

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Steve Gartner

sgartner@cadence.com

Source: Cadence Design Systems, Inc.