The S&A market grew by 8.8% to $10.9 billion in 2024
ANN ARBOR, Michigan, USA 19 August 2025—CIMdata, Inc., the leading global PLM strategic management consulting and research firm, announces the release of the CIMdata Simulation and Analysis (S&A) Market Analysis Report. This report expands on the S&A market analysis conducted as part of the CIMdata 2025 PLM Market Analysis Report Series. The well-known PLM MAR Series provides detailed information and in-depth analysis on the worldwide PLM market during calendar year 2024. It contains analyses of major trends and issues, revenues of leading PLM providers, and revenue analyses for geographical regions, industry sectors, as well as historical and projected data on market growth.
The 2025 S&A MAR is a 94-page report that contains over 50 tables and charts of data, detailing the worldwide S&A market along various dimensions. It also includes an update on CIMdata’s S&A segmentation, a discussion of trends in the S&A industry, and updates on the top S&A solution providers.
2024 was defined by three key trends that are fundamentally reshaping the industry:
- EDA-S&A consolidation: Electronics and semiconductor systems are no longer restricted to a certain industry domain or application but are now a central part of any new product and process development. Driven by this core industrial need, EDA solution providers are moving very fast to realize the “silicon to systems” software stack vision. Physics-based simulation technology is becoming a core part of their offerings.
- The rise of AI/ML integration: AI and machine learning capabilities have been embedded into simulation workflows for a long time, primarily playing a background role. However, fueled by GPU computing advancements and a huge interest generated by generative AI, new startups as well as established solution providers are reimagining simulation workflows. This includes companies attempting to develop models using historical simulation and test data (core machine learning), use of physics-informed AI training methods to reduce training time and data requirements, and use of geometric deep learning as a fundamental building block. There are numerous companies attempting to develop “foundation models,” thereby moving simulation to inferencing using a fully trained model.
- The maturation of digital twins: Digital twin technology advanced from a conceptual idea to tangible deployments across multiple industries. Simulation and analysis are foundational elements of digital twins, providing the physics-based modeling required for predictive insights. Companies leverage digital twins for applications like predictive maintenance and virtual commissioning, creating a closed-loop system between product operation and design.
As shown in the following chart, in 2024, S&A revenues grew to $10.9 billion, an increase of 8.8% over the $10 billion in 2023. CIMdata expects the PLM market overall to continue its strong growth, but at different rates for the different segments. For 2025, CIMdata forecasts that the S&A sub-sector will grow by 10.7% overall and have revenues of just over $12 billion.
S&A Revenue—History and Forecast
The 2025 CIMdata S&A Market Analysis Report is available for purchase at: https://www.cimdata.com/en/online-store/market-analysis-reports/product/351-2025-simulation-analysis-market-analysis-report.
