IPC-2581 Update

It’s been a while since I updated readers on the IPC-2581 Consortium. Here’s a few tidbits:

  • The group of supporters continues to grow, and a couple large IT and test equipment OEMs are now considering joining. At least one announcement could be coming shortly.
  • The verification team, led by Ed Acheson at Cadence, is making progress. They are looking at some designs to use for test runs. At least 10 designs are expected to be validated using the members’ CAD and CAM tools.
  • Wise Solutions expects to have an IPC-2581 viewer by January. It will likely be made available through multiple websites.
  • The Consortium will have a booth at the IPC Apex show in late February and PCB West in September. Members will also have a poster at Apex and will make a presentation at PCB West.

Here’s a question: Should Mentor or Frontline (which Mentor owns a 50% stake in) join the IPC-2581 Consortium? Feel free to reply here or directly to me if you wish.

Data Transfer in the News

A couple new articles are out on the IPC-2581 and ODB++ data transfer formats.

On Oct. 2, longtime EDA journalist Richard Goering provided a well-written writeup on the “lively panel discussion” (“Data Transfer in the 21st Century”) we held during PCB West on Sept. 29. Richard does a nice job capturing the frustration of the designers present and historical give-and-take that has led us to the current situation.

And yesterday, EDN weighed in with interviews of participants from the data transfer panel held at PCB West and other key spokespersons.

Given the new support for IPC-2581 by Cadence and Zuken, among others, this issue isn’t going away.

Intelligent Design

In my monthly column for PCD&F last month, I was ostensibly discussing standards and how they come to be. The first standard I worked on was IPC-D-350, one of the first of the would-be slayers of Gerber, the so-called unintelligent data format. Indeed, I’ve spent a good part of my life watching electronic data transfer formats come and go, and at the end of the day, Gerber, warts and all, has remained the one to beat. So I’m not prepared to rise up and shout to the heavens that IPC-2581, the latest iteration in 40 years’ worth of attempts at an “industry” standard, is at long last the answer.

But as we noted in “Around the World
,” there are enough notable differences in the process this time around to make it newsworthy. First and foremost, there are real live CAD tool vendors not just showing up at the meetings, but actively participating (!).

To understand why this is significant, we must go back to my IPC-D-350 days. Digital Equipment and the late, great Harry Parkinson were instrumental in trying to revive interest, and we at IPC also had support from several smaller software folks like Dino Ditta at Router Solutions and Steve Klare at Intercept Technology. But we never managed to break through, and a big part of the problem was the major CAD vendors’ collective refusal to offer IPC-D-350 as an output (or input). The response always was, “We’ll do it if our customers ask us.” But what they were really saying was, “We don’t want to make it easy for our customers to migrate their designs to a competitor’s tools.”

In the meantime, AT&T offered up RS-274X (aka extended Gerber), which UCamco continues to support, and Valor developed ODB++, and (like Gerber) while it was originally conceived as much a machine language as a format for electronic design data, it was accepted by fabricators desperate for something, anything, more intelligent than Gerber.

Under the leadership of Dieter Bergman, IPC also continued the fight, enlisting the help of the National Institute of Standard and Technology (NIST) through not one but two (GenCAM, Offspring) successors to IPC-D-350. (For a short history of the standards, click here.) Yet even now, after decades of trying, no group has been able to dismount Gerber from its perch, and it’s long past time we did. Data transfer formats are not something anyone ever will make money from, but every day we go without a better one, everyone will lose some.

Curiously, just a few weeks ago, I was contacted by David Gerber, son of H. Joseph Gerber, who invented the photoplotter and the eponymously named de facto standard that ran it. Gerber’s genius cut across many industries, from electronics to apparel, and he was awarded the 1994 National Medal of Technology for his life’s work.

For such an esteemed inventor, Gerber’s backstory is even more interesting than his career. As a teenager in 1940, he fled Nazi Germany for America. As an aeronautical engineering student at Rensselaer Polytechnic Institute, he discovered a way to reduce the time-consuming nature of graphing calculus problems using (seriously) an “expandable ruler” created from the elastic waistband of his pajamas. And of course, he formed The Gerber Scientific Instrument Co. in 1948, which is still going strong today.

The younger Gerber is writing a book about his father’s exploits. I look forward to learning more about the life of one of our industry’s true unsung heroes. But at the same time, I’m going to do everything I can to help retire one of his legacies.

In our cover story this month, Hemant Shah and Keith Felton of Cadence explain a new consortium taking root. The consortium is backed by a Who’s Who of OEMs and EDA vendors, including Harris, Ericsson, Fujitsu, nVidia, Sanmina-SCI, Cadence, Zuken, Adiva and Downstream Technologies. Its goal is to accelerate the adoption of IPC-2581 as an open, neutrally maintained global standard to encourage innovation, improve efficiency and reduce costs. The members are committed to adopting IPC-2581, which as I noted gives this latest effort a big leg up on all previous attempts.

Where does UP Media Group stand on this? For 20 years, we have supported the development of an intelligent, robust format for electronics data transfer. As such, we fully support the consortium’s effort to ensure a viable, supported and independent data transfer format that is driven by user needs.

That new task group attempting to update IPC-2581 recognizes that design needs will at some point “break” Gerber. Many of the players are new to the game, and a lot of the old rivalries appear to have died off due to retirements and, well, death. That’s good, because the industry needs a better standard than Gerber. Thanks in part to his son, Joseph Gerber’s name and many contributions will hopefully never be forgotten. But it’s time his namesake data format is.

Change Time at Cadence?

John Bruggeman, senior vice president and chief marketing officer of Cadence, is leaving the company after two years. This comes as something of a surprise to many industry watchers, given Bruggeman’s prominent role in reshaping the EDA vendor following its revenue drop and ill-advised play for Mentor Graphics in 2008.

In laying out his EDA360 vision, Bruggeman asserted software must help profitability as much as productivity, and that future designs will be app-driven, in which users would start with the applications and then overlay the optimized hardware/software.

In doing so, Bruggeman echoed hardware design industry guru Lee Ritchey, who famously said at a Printed Circuit Design-sponsored tech session that users buy the hardware to run the software.

Bruggeman’s departure has raised the question about Cadence’s executive succession plan, and whether he lost a battle to run the company in the future. Again, some analysts feel CEO Lip-Bu Tan plans to step down sooner rather than later, and that Bruggeman’s resignation paves the way for senior vice president of worldwide field operations Charlie Huang to ultimately ascend the throne.

Stay tuned.

What Icahn Wants

Carl Icahn made it official today, offering roughly $1.9 billion for Mentor Graphics, or $1 a share more than Cadence offered in summer of 2008.

But it’s clear from the seven sentence letter that Icahn has no desire to own the PCB/EDA software company. As he states 

There will be no financing conditions. Furthermore, we will not insist upon providing for a break-up fee in the transaction so as not to provide a roadblock to others who may want to consider bidding higher than our bid.

In other words, “I don’t want to own you. I just want to maximize the cash I can get for you.”

There are three obvious bidders for Mentor: Synposys and Cadence on the semi design business side, and Cadence and Zuken in the PCB space. That said, Synposys has shown no interest in the PCB side, and Cadence has a relatively new CEO who owes his job in part to the bungled attempt of his predecessor to buy Mentor. I can’t see Cadence making much of a play at this time. Zuken has plenty of cash and hasn’t been able to crack open the North American market (its share as of March 2010 was about 5%); this is a prime opportunity.

Given Icahn’s track record, the odds are growing long that the Mentor of 2012 will look much like the Mentor of today. 

New Leaders for Mentor?

It’s one thing when one high-profile corporate raider wants a piece of you. But three?

That’s the queasy situation Mentor finds itself in today. The company’s board, which fended off Cadence a couple years ago, is now fighting for its life, having incurred the ire of two of its major shareholder groups by switching the date of its annual meeting, thus making it difficult for the dissidents to propose their own slates of directors. And they aren’t the only ones who could make life difficult for the EDA software company.

It’s never good to be in the middle of a battle with shareholders whose funding and access to capital is several times greater than yours. It’s especially not good when you have lost a net $65 million over three years and are seen as a bountiful treasure chest that just needs unlocking.

For 18 years Wally Rhines has been a steady hand at the helm of Mentor. Sadly, it’s looking more and more likely he won’t make it to 19.

On Deals Never Done

About three years ago, Cadence made a play for EDA competitor Mentor Graphics, an offer the latter never seriously considered. That move, coupled with sharply falling revenues, cost then Cadence CEO Mike Fister his job.

On Friday, the San Jose Mercury-Times reporter Steve Johnson asked current Cadence chief executive Lip-Bu Tan about that merger attempt. While Tan doesn’t specifically address that deal, his words are telling: “In general, industry consolidation is always good.”

It’s a bit frightening to consider a PCB CAD world with one major player taking up the lion’s share of the North America and European markets. (Zuken more than holds its own in its native Japan.) As we learned when AT&T dominated the phone equipment and services market, monopolies (or near monopolies) are the enemy of innovation. Let’s hope it never comes to that.