FTC Settles Antitrust Concerns Over Synopsys, Ansys Deal With Divestiture Order

By Connor Hart

The Federal Trade Commission will require Synopsys and Ansys to sell off certain assets, thereby settling anticompetitive concerns over the companies' planned $35 billion deal.

The agency said Wednesday that the proposed order will preserve competition, protecting consumers from higher input prices for products such as cars, smartphones, cameras and televisions.

Under the order, both Synopsys and Ansys will divest certain assets to Keysight Technologies within 30 days of the deal's close. The companies will provide transition services and technological support to Keysight, ensuring Keysight can immediately compete in the market, the FTC said. The agency will additionally appoint a monitor to oversee the completion of the order.

Synopsys will divest both its optical and photonic software tools.

The company's optical software tools enable engineers to produce devices that generate, reflect or refract light, such as LED screens, mirrors and lenses, while its photonic software tools assist in production of devices that transmit information including fiber optic cables and solar panels, according to the FTC.

Ansys, meanwhile, will sell PowerArtist, an analysis tool that measures and optimizes the power consumption of digital chips, the FTC said.

Synopsys agreed to buy Ansys in January 2024 in a bid to create a new software giant, extending the company's reach in simulation software for designers of micro chips, cars and airplanes.

The European Commission earlier this year approved the deal after the companies offered to divest parts of their business to ease fears it could hinder competition.

Write to Connor Hart at [e-mail]

(END) Dow Jones Newswires

05-28-25 1951ET