SAN JOSE — Second quarter revenue from electronic design automation was $1.09 billion, down $3 million a year ago. Product (non-service) revenue  was $1.03 billion, up from $1.02 billion, boosted by PCB and IC tool demand, which offset drops in computer-aided engineering, said the EDA Consortium.

"The EDA industry continues to realign, as strength in printed circuit board, IC physical design and verification, offsets weakness in traditional markets like computer-aided engineering," said EDAC chairman Wally Rhines. "Japan continued its strong growth momentum, up 15% over the second quarter of 2004."

EDA's largest tool category, computer-aided engineering, recorded sales of $445 million in Q2, down 6% year-over-year. PCB and MCM revenue increased 3% to $86 million. IC physical design and verification was up 2% to $289 million. Semiconductor Intellectual Property revenue was up 13% to $208 million

North America purchased $528 million of EDA products and services in Q2, flat compared to last year. Western Europe revenue was essentially flat at $189 million. Japan reported revenue growth of 15% to $242 million. Rest-of-world rose 5% to $132 million.