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Hyderabad, July 21

The rate-able revenue model, introduced by Synopsys Inc, a few years ago, is paying off now in the times of global slowdown. “We are able to record steady streams of revenues and growth because of the rated revenue model,” Mr Aart J. de Geus, Chairman and Chief Executive Officer of Synopsys, told Business Line. This turned out to be a recession-proof model for customers as it helped reduce operational costs in particular areas. The US-based S ynopsys, which provides electronic design automation (EDA) solutions and services to the semiconductor industry, pioneered this model. In India, it employs 700 people in its Bangalore, Hyderabad and Noida offices. Mr Aart argued that the rate-able revenue flows offered the company a predictable model. In the traditional model, companies sold the solutions showing good revenues in a particular month(s), while reporting meagre numbers in other periods. This would result in ups and downs in the revenue map.

— Our Bureau

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