Semiconductor industry and market
What is a company called whose business model is licensing design assets (IP) such as CPUs to other companies for fees?
- AFoundry
- BIP vendor
- COSAT
Show answer and explanation
Answer: B. IP vendor
IP vendors develop design assets such as CPU cores and interface circuits and license them to semiconductor companies, earning license fees and per-product royalties. Using IP lets semiconductor companies reduce development time and cost.