Synopsys has suspended its financial guidance for both Q3 and the full fiscal year 2025 after receiving a notification from the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) regarding new export restrictions involving China. The announcement came on May 29, 2025, shortly after the company reported earnings for its second fiscal quarter, which ended on April 30.
The BIS letter apparently concerns new regulatory constraints on the export of certain technologies to China.
Synopsys said it is now assessing the potential implications of these restrictions on its operations, financial performance, and broader business activities. The company did not provide details on the nature of the restrictions or how they may affect specific product lines or customer relationships.
This development underscores the growing impact of U.S.-China trade and technology tensions on the semiconductor ecosystem. Synopsys, a key provider of electronic design automation (EDA) tools and silicon IP, plays a central role in global chip development.
- Synopsys suspends Q3 and FY2025 guidance after receiving BIS export control letter
- New U.S. restrictions relate to exports involving China; specifics under review
- Company evaluating potential impact on operations, customers, and financial health
- Notification followed the release of Synopsys’ Q2 FY2025 results
- Synopsys is a leading supplier of EDA tools, silicon IP, and system validation platforms
“We are currently assessing the potential impact of the BIS Letter on our business, operating results and financial condition,” Synopsys said in a company statement issued May 29, 2025.