ATLAS
AI Stack/Semiconductor IP

Semiconductor IP

Moderate

Licensable CPU, GPU, interconnect, and memory-controller architectures used as building blocks for custom silicon.

As hyperscalers build their own chips, licensable IP becomes the tax that everyone pays. Custom AI silicon almost always embeds licensed cores or interconnects.

Companies
6
6 pub · 0 priv
Public mcap
$1.26T
Public revenue
$57.63B
Wtd YoY
36%
Wtd GM
69%
Wtd OM
19%
Avg fund
74
Avg tech
71

Market structure

Current TAM
$7.00B
5y TAM
$15.00B
5y CAGR
16.0%
Companies
6
Margin structure
Software-like
Concentration
Concentrated
Capex intensity
Low
Commoditization
Medium

Drivers

What grows the pie

  • Hyperscaler ASICs
  • Edge AI proliferation
  • Auto compute

Constraints

What can break the thesis

  • Customer concentration risk
  • Open-source ISA pressure (RISC-V)

Upstream dependencies

Downstream consumers

Companies in Semi IP

Ranked by composite score
CompanyMkt CapGrowthFCF%Val1YTechFundAIScoreView
SNPSSynopsys$95.58B65.5%38.7%29x55747870Strategic Compounder
CDNSCadence Design Systems$96.78B18.7%27.1%37x54757667Strategic Compounder
AMDAMDSA Put$729.82B37.8%19.2%35x82738865High-growth Infrastructure Bet
ALABAstera Labs$49.28B93.4%24.0%68x71788065Overextended Momentum Trade
ARMArm Holdings$273.16B20.1%15.7%84x81728063Overextended Momentum Trade
RMBSRambus$14.44B8.1%34.6%37x81726262High-growth Infrastructure Bet