Israel's TowerJazz to collaborate with Tanner EDA

Israeli chip maker TowerJazz (TSEM.TA) and Tanner EDA, a maker of electronic design automation (EDA) tools, said on Thursday they will jointly develop process design kits for analog/mixed-signal designers, Reuters reported.

The companies did not disclose financial details, but a market source in Tel Aviv said the deal could be worth $10 million per quarter for Tower (TSEM.O) starting in 2012 or 2013.

Tower said that by working with EDA vendors such as Tanner, the companies can provide mutual customers with a power management platform and customised design capabilities to achieve more predictable designs. This will enable them to decrease design cycle time.