#1Synopsys Silicon to Software™ Corporate Overview for Investors SYNOPSYS AUGUST 2022#2synopsys® Forward-Looking Statements This presentation contains forward-looking statements, including, but not limited to, statements regarding Synopsys' short-term and long-term financial targets, expectations and objectives; strategies related to our products and technology; business and market outlook, opportunities and strategies; customer demand and market expansion; our planned product releases and capabilities; industry growth rates; software trends; planned acquisitions and stock repurchases; our expected tax rate; the expected impact of U.S. and foreign government actions and regulatory changes on our financial results; and the continued impact of the COVID-19 pandemic. These statements involve risks, uncertainties and other factors that could cause our actual results, time frames or achievements to differ materially from those expressed or implied in such forward-looking statements. Such risks, uncertainties and factors include, but are not limited to: risks from the continued impact of the COVID-19 pandemic on the global economy and on our business, operations and financial condition; macroeconomic conditions and uncertainty in the global economy; uncertainty in the growth of the semiconductor and electronics industries; the highly competitive industry we operate in; consolidation among our customers and our dependence on a relatively small number of large customers; risks and compliance obligations relating to the global nature of our operations as well as actions by the U.S. or foreign governments, such as the imposition of additional export restrictions or tariffs; and more. Additional information on potential risks, uncertainties and other factors that could affect Synopsys' results is included in filings we make with the SEC from time to time, including in the sections entitled "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended October 31, 2021, and in our latest Quarterly Report on Form 10-Q. The information provided herein is as of August 17, 2022. Synopsys undertakes no duty, and does not intend, to update any forward- looking statement, whether as a result of new information, future events or otherwise, unless required by law. Regulation G In addition to financial results prepared in accordance with Generally Accepted Accounting Principles, or GAAP, this presentation also contains certain non- GAAP financial measures. Except for certain forward-looking non-GAAP financial measures for which a reconciliation is not possible without unreasonable efforts, reconciliations of the non-GAAP financial measures (either contained in this presentation or given verbally) to their most comparable GAAP measures are included in the table at the end of this presentation, along with the third quarter of fiscal year 2022 earnings release and financial supplement, dated August 17, 2022, and available on Synopsys' website at https://www.synopsys.com/company/investor-relations/financial-news.html. Synopsys Confidential Information 2022 Synopsys, Inc. 2#3Synopsys: The Market & Technology Leader FY22 Targets(1) Broad Product Portfolio Electronic Design Automation (EDA) Semiconductor Intellectual Property (IP) Software Security and Quality synopsys® Revenue: FY21 $4.20B - $5.06B $5.09B 14.1% 20% -21% Growth Rate: Non-GAAP 30.5% Operating Margin: -33.0% *Midpoint of range * Non-GAAP EPS: $6.84 $8.80 - $8.85 Growth Rate: 23.2% -29% Operating Cash Flow: $1.49B $1.60B $1.65B Business Model: Time-based, recurring revenue model; Non-cancellable backlog (1) These targets are being provided by Synopsys as of August 17, 2022; a GAAP to non-GAAP reconciliation of FY22 Operating Margin targets and FY22 EPS targets are included at the end of this presentation Synopsys Confidential Information 2022 Synopsys, Inc. 3#4Synopsys: The Market & Technology Leader 1011 0100 Electronic Design Automation ~35 years of investment and execution ~65% of revenue Semiconductor IP >20 years -25% of revenue Software Integrity ~8 years ~10% of revenue synopsys® Market Leader #2 IP Vendor Synopsys Confidential Information Emerging Leader, Broadest Portfolio 2022 Synopsys, Inc. 4#5Long-term Financial Objectives1 While the results in any given period will vary due to timing of product deliverables, acquisitions or other near-term priorities, our long-term, multi-year objectives² are: Revenue Annual double-digit growth EDA: double-digits · IP: mid-teens Margin Annual non-GAAP operating margin expansion of more than 100 bps Earnings Annual non-GAAP EPS growth in the mid-teens range SIG: 15-20% Utilize our strong cash flow for organic investments, M&A and share buybacks 1. These multi-year objectives are provided as of August 17, 2022. 2. Period to period fluctuations are a normal element of our business, driven particularly by timing of hardware and IP deliveries. Variability, which increased as a result of Accounting Standards Code (ASC) 606 adoption, should be expected. synopsys Synopsys Confidential Information 2022 Synopsys, Inc. 5#6Synopsys: The Market and Technology Leader Uniquely Positioned for Growth and Stability ► Robust End Markets ⚫ Clear Technology Leadership ⚫ Financial Strength and Growth 100 401 00 01 0 10 00 0 0 01 Synopsys Confidential Information 2022 Synopsys, Inc. 6#7Global Value Chain - 2021 EDA & IP - At the Heart of Accelerating Electronics Innovation EDA & IP $14.3B Embedded Software $12.8B Foundry $110B 201 10:15. Semiconductors $615B Electronic Systems $1,850B synopsys® Sources: ESD Alliance, Ipnest, MarketsandMarkets, IC Insights Synopsys Confidential Information 2022 Synopsys, Inc. 7#8Blue Chip, Diversified Customer Base Semiconductors Systems Software Developers D 10 10 1.10° 1 0 D 101. D D DB 1 OL • Semi R&D (including EDA) is a top investment priority for semi and system customers in all phases of the business cycle Consists of virtually all semiconductor companies in the world, including all of the top 20 One >10% customer in FY21 • • >40% of our revenue comes from systems companies Systems companies develop chips as an input to an end product, rather than selling the chip itself Verification challenges are rapidly growing at the intersection of hardware and software • Key function across all industries: semis and systems, to enterprises in segments such as financial services, medical devices, automotive, and industrial Targeting software developers, DevOps groups, corporate security teams synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 8#9Dynamic Change in Many Markets HPC, Data Center (Al accelerators) Networking Mobile/5G Automotive Industrial Automation Enterprise Software Healthcare Memory Government & Aerospace Financial PC/Gaming AR/VR Services synopsys® Synopsys Confidential Information Demand for Smart Everything seems limitless Innovation is fueled by semiconductor and software advances Driven by fusion of big data, massive compute, and machine learning 2022 Synopsys, Inc. 6#10Enabling and Leveraging the Potential of Al Design and Verification Tools for Al Processors Multiple years of collaboration alongside Al pioneers - deep understanding of Al design implications and challenges Verification solutions from architecture to simulation to emulation and prototyping Digital Design Family significantly enhanced to address Al processor design challenges synopsys® Al Processor Key Design Solutions - Data Center Lessons learnt working with Al technology pioneers DESIGN CHALLENGE Capacity, turnaround time 100s of MIM/MIBs, many power domains. Signal routing congestion Transistor-dominated layout, congestion, macro timing path closure EM effects, parasitics, inductance AUTO RE-ARCHITECTURE, PLACEMENT Clock vs. data path power optimization Ince 24.19% IR drop issues, need for robust power grid Wire Al Processor Key Design Solutions - Data Center . Sparse logic, low utilization areas © 2018 Spot the 21 Al Accelerator Par Synopsys Confidential Information Lessons learnt working with Al technology pioneers DESIGN CHALLENGE Capacity, turnaround time 100s of MIM/MIBS, many power domains, abutted FPs, hierarchy, global clocking Signal routing congestion Clock routing through dense PG structures Transistor-dominated layout, congestion, macro timing path closure EM effects, parasitics, inductance Clock vs. data path power optimization IR drop issues, need for robust power d Sparse logic, low utilization areas MAXIMIZATION OF FEED-THROUGH RE-USE Handling of Complex Star Connections Ensuring Feedthrough Reusability for MIBs Maximize Net-Bundle "Togetherness" Clock-Domain-Aware Dealing with Custom Tracks Enabling Efficient Clock Station Management Pin Placement Recent Al Processor Tape-out Al Processor Key Design Solutions - Edge Lessons learnt working with Al technology pioneers ©2018 S2 DESIGN CHALLENGE GHz+ timing closure challenges; variability floorplan exploration, channel congestion Macro-dominated layout, congestion, dense routing Memory placement and continuous core area for cell placement " Aggressive CNN engine power optimization Switching power, clock network ⚫ DRAM if power considerations ⚫ I/O pin constraints ECO FUSION TECHNOLOGY Up to 40% Faster TTR to Signoff 97 scen for signoff, 25 scen for implementation Baseline Flow route opt PT&ICC2 PT Manual ECOs ECO Fusion Flow Reduced ECO route opt Fusion ICC2 PT route opt ECO Fusion 4ECOs. Signoff 030 vs inc 4 30% Faster Synopsys 2022 Synopsys, Inc. 11#11Enabling and Leveraging the Potential of Al Hierarchy Settings Flow DSO.ai World's First Autonomous Design Space Optimization Breakthrough Reinforcement Capable of searching trillions of design Learning permutations for best PPA solutions. Process synopsys® Performance SYNOPSYS DIGITAL DESIGN FAMILY SYSTEM DESIGN 3DIC Compiler DIGITAL DESIGN RTL Architect Test Fusion Design Compiler NXT Fusion Compiler IC Compiler II Signoff Fusion PrimeTime, PrimeShield PrimePower PrimeLib Tweaker ECO Monitor IP StarRC IC Validator NXT Formality/Formality ECO RedHawk Analysis Fusion POST SILICON SiliconDash Yield Explorer Area Cells Pow Fast Ramp-Up Constraints Cloud-Ready Synopsys Confidential Information Fully-integrated with the Digital Design Family - industry's richest technology foundation. Supports on-prem, public, and hybrid clouds for fast deployment 2022 Synopsys, Inc. 12#12Enabling and Leveraging the Potential of Al • IP Solutions Designed for Al Applications Proven IP solutions accelerate time-to-market Memory/interface/analog IP designed to handle the uniquely intensive Al demands of memory capacity, bandwidth and coherency ABI Research forecasts Al chipset sales to exceed $10B in 2024 with SoCs across all markets containing Al capabilities Algorithm Optimization Memory Bandwidth/ Storage Capacity Chip-to-Chip Bandwidth Chip-to-Chip Cache Coherency synopsys® TH ARC Processors EV Processors Inference Model Optimization Video Input HBM2 DDR/LPDDR USB/eDP Video Input PCI Express HDMI CCIX Bluetooth, 12S, USB Audio Input Ethernet Cloud Connectivity Bluetooth 802.15.4 Sensor Input MIPI 13C ADC CMOS Image Input Sensor Input Synopsys Confidential Information 2022 Synopsys, Inc. 13#13synopsys® Automotive - A Case Study SECURE F CHIPS 4 Billion transistors SYSTEMS Infotainment, GPS, Drivetrain, Sensors 1011 0100 SOFTWARE >150M Lines of Code per vehicle ARTIFICIAL INTELLIGENCE Big Data, Capture, Analyze, Decision Making AUTONOMOUS DRIVING Systems of Systems OWNERSHIP & INFRASTRUCTURE Entire Ecosystem Synopsys Confidential Information 2022 Synopsys, Inc. 14 14#14New Electronics Architecture Required Integrated Compute and Smart Sensor Architecture Requires Redesign 101001 101 105 011 01 00 101 DOMAINS ADAS Powertrain Gateway Infotainment/V2X • Comfort • • • Integrated Controllers per Domain Sensor Fusion Connectivity and upgradeability Highest reliability, security and safety FUNCTIONAL SAFETY SECURITY RELIABILITY (Silicon Aging) SW DEVELOPMENT (Early SW, Secure, OTA validation) AI/DEEP LEARNING LOW POWER synopsys® • . REQUIREMENTS Synopsys Confidential Information CONNECTIVITY ADAS GATEWAY INFOTAINMENT/V2X COMFORT POWERTRAIN 2022 Synopsys, Inc. 15#15Synopsys: The Market and Technology Leader Uniquely Positioned for Growth and Stability Robust End Markets • Clear Technology . Leadership ⚫ Financial Strength and Growth 100 401 00 01 0 10 00 0 0 01 Synopsys Confidential Information 2022 Synopsys, Inc. 17#16Synopsys Enables System Innovation, Silicon to Software Comprehensive World-Class Technology Software: Application security testing & quality Leader in Gartner's Magic Quadrant Systems: Leader in HW/SW verification, virtual prototyping, VIP and models. Design: Digital & custom AMS platforms Best QoR, highest productivity PROCESS FUNDAMENTALS Software Systems IP IP: Broadest portfolio, silicon-proven #1 interface, analog, memories, physical Silicon: Reference tools for process optimization, CAD, lithography & yield optimization Solutions: Design Silicon Automotive, low power, 3DIC, DTCO, memory, silicon lifecycle management P DEPLOYED SYSTEM Broadest System Design Coverage synopsys Synopsys Confidential Information 2022 Synopsys, Inc. 18#17Synopsys • • LEADER IN EDA Market and technology leader in EDA, the tools and technologies used to design semiconductor chips and systems ~$8.8 billion market*; generally tracks semiconductor R&D spend over time Growth drivers: all aspects of chip & system complexity All leading semiconductor companies in the world use Synopsys technology State-of-the-art design and verification platforms with unmatched global support 2021; Source: ESD Alliance, Internal estimates (August 2022) Synopsys Confidential Information 2022 Synopsys, Inc. 19#18#1 in Digital Design: Synopsys Digital Design Family SYNOPSYS DIGITAL DESIGN FAMILY SYSTEM DESIGN 3DIC Compiler DIGITAL DESIGN RTL Architect Test Fusion Design Compiler NXT IC Compiler II TestMAX CLOUD BIG DATA Fusion Architecture #1 Anchors: Synthesis, P&R, Signoff Fusion of algorithms, engines, data model Fusion Compiler Innovative Products Industry Unique Fusion Compiler DC NXT, TestMAX, IC Validator NXT Signoff Fusion PrimeTime, PrimeShield StarRC PrimePower PrimeLib Tweaker ECO IC Validator NXT Formality / Formality ECO RedHawk Analysis Fusion Market Leadership ML-enhanced tools, Al-driven apps Cloud-ready POST SILICON Monitor IP SiliconDash Yield Explorer synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 20 20#19Synopsys Fusion Compiler TM SYNOPSYS DIGITAL DESIGN FAMILY SYSTEM DESIGN 3DIC Compiler DIGITAL DESIGN RTL Architect Design Compiler NXT Test Fusion synopsys® IC Compiler II TestMAX Fusion Compiler CLOUD BIG DATA ● • ● Only single product on market with innovative next-generation integration of synthesis, place & route and key signoff technologies Built with market-leading products Redefines conventional product boundaries; sharing of algorithms, code and data model New synthesis engine, developed from ground up for significantly higher capacity & performance Strong momentum with considerable benchmark wins and competitive displacements, driving accelerating digital design revenue growth Signoff Fusion PrimeTime, PrimeShield StarRC PrimePower PrimeLib Tweaker ECO IC Validator NXT Formality / Formality ECO RedHawk Analysis Fusion POST SILICON Monitor IP SiliconDash Yield Explorer Synopsys Confidential Information 2022 Synopsys, Inc. 2 21#20Synopsys Custom Design Family SYNOPSYS CUSTOM DESIGN FAMLY synopsys Custom Compiler PrimeSim Signoff Fusion CLOUD Innovative Products Industry anchors HSPICE, CustomSim, FineSim Custom Compiler Next-generation custom layout Competitive Differentiation Flexible, open environment Faster custom design closure NanoTime StarRC Market Momentum PrimeSim launched in March 2021 Multiple full flow competitive displacements PrimeLib IC Validator Synopsys Confidential Information 2022 Synopsys, Inc. 22 22#21#1 in Verification: Synopsys Verification Family SYNOPSYS VERIFICATION FAMILY Planning & Coverage Verdi (CLOUD Best-in-Class Verification Complete platform with #1 products in all categories, hardware-based and software-based Fastest Virtualizer VC SpyGlass & Highest-performance engines VCS ZeBu HAPS Engines speed time-to-market VC Formal Synopsys Accelerating Innovation VIP, Transactors, Virtual & Memory Models Synopsys Confidential Information Investing in domain-specific, Al and cloud technology to improve verification efficiency 2022 Synopsys, Inc. 23 23#22Verification Hardware: ZeBu® Server 4 Emulation System Leading System for Software Bring-up Only modern system to allow software-on-hardware validation Industry's Fastest Emulation System 2X higher performance Industry's Largest Capacity Scalable to 19B+ gates Industry's Lowest Total Cost of Ownership 1/10th lower power consumption, half data center footprint Synopsys Zebu Server 4 ZeBu Server 4 synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 24#23Introducing Application-Specific Verification Hardware ZeBu EP1: Industry's First 10 MHz Emulator Accelerates hardware/software verification for SoCs up to 2 billion gates 3-4x higher performance vs competition Supports at-speed, full-visibility debug and all emulation use cases Zellu Synopsys ZeBu Empower: Industry's First Power Emulator Enables power verification of complex SoC running real-world software Native Cloud scalability for billions of SW cycles on multi-billion gate SoCs Integrates with Prime Power, the industry's golden power signoff solution synopsys® Synopsys Confidential Information ZeBu EP1 Synopsys ZeBu Empower 2022 Synopsys, Inc. 25#24Verification Hardware: HAPS-100 Prototyping System Industry's Highest Performance Prototyping System 20-50 MHZ for complex SoC software development and system validation Industry's Highest Prototyping Debug Productivity 4x higher debug performance vs HAPS-80 Enterprise and Ecosystem Scalability HAPS Gateway software enabling multi-design, multi-user parallelization Proven Direct Connect Architecture Broadest portfolio of accessory cards for real-world IO connectivity synopsys® Synopsys Confidential Information 2424 SYNPSYS 1414 444 444 MEN HAPS-100 2022 Synopsys, Inc. 26#253DIC Compiler: Unified Exploration-to-Signoff Platform 3DIC COMPILER PLATFORM Architectural Planning Abstraction, Visualization 2.5D/3D Prototyping Early Analysis What-if Evaluation Design Creation Die Partitions Floorplaning Connectivity Planning Implementability Checks In-design Co-Analysis Design Implementation Power, Clock Delivery D2D Routing Multi-die DFT Custom Router In-design Co-analysis 4 Signoff / System Analysis DRC/ LVS Extract STA Power Thermal COMMON FUSION DATA MODEL EMIR SI/PI Synopsys® 2.5D Interposer, RDL Fanout, 3D Stacked Designs м Synopsys Confidential Information Highly Integrated, Scalable Platform System-of-chips integration over 100s of Billions of transistors Leveraging common data-model & tech files for 2D and 3D designs Flexible, Efficient Workflow Environment Fast exploration and pathfinding to accelerate 3D design creation and D2D planning Comprehensive Design and Closure Full breadth of high-throughput engines - Digital, custom, auto D2D routing, native DRC, DFT, ECO and more Trusted, Golden Signoff Analysis Integrated industry standard technologies for convergence to optimal PPA/mm³ – incl. STA, Thermal, EMIR, SI/PI 2022 Synopsys, Inc. 27#26Synopsys Silicon Lifecycle Management Family synopsys ML SYNOPSYS SILICON LIFECYCLE MANAGEMENT FAMILY 8 New Insights Design Calibration Analytics Product Ramp Analytics Test and Production Analytics In-Field Management CLOUD Synopsys Digital Yield Explorer Silicon Dash Optimizer Design Family SLM Unified Database Monitor, manage and optimize the performance, health and security of the chip from initial qualification to in-field In-Field In-Production Adaptive Learning Engine High-Speed Access & Test TestMAX ALE Embedded Learning Engine (ELE) In-Ramp Hardware Monitor IP TestMAX, DFT/BIST, DesignWare In-Chip Sensors & PVT Monitors Synopsys Confidential Information In-Design 1011 0100 ☐ 2022 Synopsys, Inc. 28#27Synopsys Cloud - Industry's First SaaS Cloud Solution BYOC Bring Your Own Cloud SaaS Software-as-a-Service Customer Uses Own Public Cloud Customer Cloud Vendor(s) synopsys® aws Microsoft Azure Google Cloud Platfor METERING Synopsys Cloud Portal | Pay-Per-Use Analytics | Security Synopsys Provides EDA Tools & Infrastructure 010 BROWSER Synopsys Confidential Information Engineer & CAD Synopsys Cloud EDA Apps Microsoft Azure Portal | Pay-Per-Use Analytics | Security 2022 Synopsys, Inc. 29#28Synopsys® 96 Leader in Semi IP #2 market share in IP, the reusable building blocks that are used for chip designs Leading supplier of interface, memory, analog and physical IP ~$5.5 billion market*, benefitting from our customers' move to outsourcing more and more complex IP IP reuse reduces our customers' chip design costs, lowers risk and speeds time-to-market Serving high-impact, growing markets (IoT, Automotive, Security, Cloud Computing), advanced processes & protocols >20 years of investment and commitment resulting in unmatched portfolio breadth, quality and reliability * 2021; Source: Ipnest, Internal estimates (August 2022) 2022 Synopsys, Inc. 30 Synopsys Confidential Information#29Broadest and Most Comprehensive IP Platform SYNOPSYS IP PORTFOLIO Design Solutions DDR/HBM PCle PHY PHY HDMI/DP PHY USB PHY 10/56/112G XSR/UCle PHY PHY C/D-PHY M-PHY CPUs MPUS Security DDR/HBM PCle HDMI/DP USB controller controller controller controller Ethernet Die-to-Die controller controller CSI DSI UFS UniPro Growing IP Demand >$1B in Revenue @Double-digit growth AMBA 4 AXI, AMBA 3 AXI & AMBA 2.0 AHB Broadest Interfaces, Analog, Foundation IP, DSPs Embedded SD/eMMC controller Memories Al & Vision Processors IP Subystems (TCAM, GPIO, LVDS PVT Sensors BLE 5 Link Layer Portfolio Memories, Security, Processors SRAM, ROM, ADCs DACs NVM) eMMC PHY BLE Radio ARC Processor IP synopsys® Datapath, incl. Floating Point Elements Logic Libraries Digital IP Physical IP Synopsys Confidential Information Competitive Unmatched global engineering team Differentiation Dedicated to quality 2022 Synopsys, Inc. 31#30High-Impact Markets: Increasing Technology Complexity Driving Growth in Third-Party IP Demand ΑΙ Machine Learning, Deep Neural Networks AUTOMOTIVE CLOUD ADAS, Infotainment, Connected Vehicle Networking, Servers Al Accelerators synopsys® Synopsys Confidential Information IoT Smart Home, Industrial, Wearables 2022 Synopsys, Inc. 32 32#31. Comprehensive IP Solutions for Cloud Computing SoCs Servers Networking DesignWare® Interface, Foundation and Processor IP for Cloud Applications Improved power efficiency for high-density and edge environments Storage Rapid data growth requires faster data access & local processing synopsys® Spectrum Switches • Increasing data volume driven from rich media and high-speed devices Artificial Intelligence brainchip Accelerator POWERED Interposer/Package 112G 112G 112G D2D D2D D2D DDR5 HBM DRAM DDR5 Global Embedded Memory D2D Control Control DDR5 CPU CPU TCAMS and MP Memories Security Test HBM PCle/CXL Misc. I/O HBM DDR5 HBM DRAM · Al accelerators in cloud servers extract insights from large data sets • Interface IP: PCIe 6.0, 5.0, CXL, HBM2/2E, DDR5, 112G Ethernet, Die-to-Die ⚫ Foundation IP: specialty memories & logic libraries • Processor IP: ARC HS Processors Synopsys Confidential Information 33 2022 Synopsys, Inc. 33#32Synopsys® 10 O 0 10 10 10 10 0 10 10 0 100 10 10 0 10 10 O Leader in Software Integrity Entered the software security & quality space in 2014 Assembled and developed the broadest portfolio of solutions on the market; $449 million TTM revenue Solutions allow organizations to identify and fix security and quality defects throughout software development lifecycle Approximately $2-2.5 billion served market: fragmented, with numerous point solutions; recognition of cost of software failure has increased dramatically Synopsys Polaris Software Integrity PlatformⓇ enables customers to fully leverage the strength of the core products and integrate Synopsys into critical development workflows Synopsys Confidential Information 2022 Synopsys, Inc. 34#33Software Security & Quality Market • Evolving, nascent market TAM1: ~$4.5-6.5B SAM: ~$2-2.5B 1. AST, TVM/VA, cloud security Sources: Gartner, Forrester, IDC, other external and internal analyses synopsys® • Growth drivers: • - Omnipresence of software Widespread connectivity exacerbates security issues Significant business risk from breaches Large development teams Market growth rate: mid-teens % Synopsys L-T multi-year growth objective: ~15-20% range* Synopsys Confidential Information *This multi-year objective is provided as of August 17, 2022 2022 Synopsys, Inc. 35#34The Most Complete Portfolio in the Industry Software Static Analysis Dynamic Analysis Security Services Composition Analysis • Find critical defects and vulnerabilities in code. Runs in the dev environment and DevSecOps workflow • OWASP Top 10 • and CWE Top 25 Automotive compliance (MISRA, ISO26262) synopsys® Find known vulnerabilities in open-source & 3rd party code Identifies license and compliance risks Tests source and binaries in apps and containers Supply chain total health with SW BOM Safely scan production applications Continuous scanning detects and adapts to code changes Fuzzing for automotive protocols and 5G Easily integrates with DevOps pipeline tools Synopsys Confidential Information Strategic analysis to build Software Security Initiative DevSecOps integration injects security into dev workflow Managed services provides full testing capabilities Architecture/design modeling eliminates software flaws 2022 Synopsys, Inc. 36#35Synopsys Completes Acquisition of White Hat Security • • In Q3'22, Synopsys completed the acquisition of WhiteHat Security, a leading provider of application security testing SaaS Provides significant SaaS capabilities and market-segment-leading DAST technology to expand our broad application security testing portfolio Paid $330 million in cash . Roughly neutral to FY2022 non-GAAP earnings per share synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 37#36synopsys Build Trust in Your Software Code Sight Polaris Intelligent Orchestration SAST/ Coverity Fuzzing/ Defensics SCA/ Black Duck DAST/ WhiteHat Code Dx IAST/ Seeker 3rd Party Products eLearning Open Source Products Security Testing Services Comprehensive SW security & quality across entire SW development lifecycle Strategy, programs, and services Developer-centric Automated tools integrated into existing DevOps toolchains Higher Fidelity Intelligently detect & fix vulnerabilities and manage risk 2022 Synopsys, Inc. 38#37Synopsys is a Leader in Application Security Testing Recognized as a Leader for the 6th year in a row 2022 Gartner Magic Quadrant for Application Security Testing ABILITY TO EXECUTE CHALLENGERS LEADERS Synopsys Checkmarx Veracode Invicti Snyk Micro Focus HCL Software GitLab Rapid7 GitHub Data Theorem NTT Application Security Onapsis Contrast Security Download a free copy of the 2022 Magic Quadrant for Application Security Testing. NICHE PLAYERS COMPLETENESS OF VISION Source: Gartner (April 2022) VISIONARIES Gartner, Inc As of April 2022 This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request here. Gartner does not endorse any vendor, product or service depicted in its research publications and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. Gartner, Inc. "Magic Quadrant for Application Security Testing" by Dale Gardner, Mark Horvath, and Dionisio Zumerle, April 18, 2022. synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 39#38Recognized Leader in End-to-End Application Security Synopsys is the only vendor recognized as the leader in both SAST & Open Source (SCA) Forrester Wave TM: Static Application Security Testing, 2021 Forrester Wave TM: Software Composition Analysis, 2021 Challengers Stronger current offering Contenders Strong Performers Parasoft Leaders r Veracode Synopsys( Micro Focus Checkmarx • CAST SonarSource WhiteHat Security • O Perforce Software HCL Software • GitHub GitLab ( Weaker current offering Weaker strategy Stronger strategy Market presence Challengers Contenders Strong Performers Stronger current offering Sonatype WhiteSource Snyk Leaders Synopsys FOSSA O ● Checkmarx Veracode O Revenera GitLab JFrog Weaker current offering Weaker strategy Stronger strategy Market presence* Source: Forrester (January 2021) Source: Forrester (August 2021) Synopsys® Download a free copy of The Forrester Wave ™: Static Application Security Testing, Q1 2021 Download a free copy of The Forrester Wave TM: Software Composition Analysis, Q3 2021 Synopsys Confidential Information 2022 Synopsys, Inc. 40#39Synopsys: The Market and Technology Leader Uniquely Positioned for Growth and Stability Robust End Markets • Clear Technology Leadership ► Financial Strength and Growth 100 401 00 01 0 10 00 0 0 01 Synopsys Confidential Information 2022 Synopsys, Inc. 43#40* ** Excellent Financial Execution Revenue (M) $4,204 $3,685 $3,361 $3,121 $2,725 Non-GAAP EPS* $5,060-$5,090 (20% -21% y/y) $6.84 $5.55 $4.56 $3.91 $3.42 $8.80-$8.85 (-29% y/y) FY17 FY18 FY19 FY20 FY21 FY22E** FY17 FY18 FY19 FY20 FY21 FY22E** Recurring revenue model with $7.1B non- cancellable backlog provides stability throughout the business cycle A GAAP to non-GAAP reconciliation of FY17 to FY22E earnings per share is included at the end of this presentation FY22E reflects guidance provided as of August 17, 2022 Strong financial execution while investing for long-term growth synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 44#41Cash Flow & Capital Allocation Operating Cash Flow (M) • • $635 $424 $991 $801 $1,600-$1,650 $1,493 Stock Repurchases (M) $788 $757 $400 $400 $329 $242 FY17 FY18* FY19 FY20 FY21 FY22E FY17 FY18 FY19 FY20 FY21 FY22 YTD Roughly tracks EBITDA less cash taxes on multi-year basis It is important to consider multi-year averages, as operating cash flow is inherently lumpy • Repurchased ~$2.9B in stock since 2017 Capital allocation priorities: - Internal investments - Buybacks and acquisitions * Includes approximately $230M in one-time payments ** FY22E reflects targets provided by Synopsys as of August 17, 2022 synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 45#42Synopsys Corporate Social Responsibility Working Together for a Smart Future synopsys® Our Smart Future CSR program provides a focus and structure for how we address both our own operational impact on the world and our ability to influence others around us. Synopsys Confidential Information Environment Synopsys Impact Human Capital Cyber Security SMART FUTURE Synopsys Influence Industry Sustainability Supply Chain Synopsys for Good 2022 Synopsys, Inc. 46#43Jan Feb Mar Apr May Jun Sep Oct Nov Dec Synopsys ESG Progress Highlights Scope 1 and 2 GHG emissions Pledged to reduce by 25% by 2024 over 2018 baseline, in line with Paris Agreement's goal to limit global temperature rise within 1.5 degrees Celsius above pre-industrial levels. 10000 Entered into one of the largest corporate aggregated clean energy procurement agreements to accelerate renewable energy development Achieved Carbon Neutral® certification for third consecutive year Inclusion & Diversity efforts have led to enhanced gender diversity across company and on Board of Directors • 33% female representation and expanded BLI representation on Board Feb Mar Jun Jul Aug Sep Oct Nov Dec 704 Analysis Ideas Employee engagement: critical component of human capital management anagement Frequent, results-driven employee surveys - most recent achieved 88% participation rate Have expanded our disclosures in annual SEC Form 10-K Synopsys Synopsys Confidential Information 2022 Synopsys, Inc. 47#44Jan Feb Mar Apr May Jun Sep Oct Nov Dec Synopsys ESG Progress Highlights Security Formally adopted industry-recognized frameworks to structure, test and assess the rigor of our cybersecurity and product security practices. Our leading Software Integrity business offers security-enhancing products and services that help enterprises build more secure software development processes. Corporate Social Responsibility report 6000 Published second annual CSR Report earlier this year with alignment to GRI standards and in line with disclosures recommended by SASB. Ratings progress Innovati Branding Solution Marketing As a result of step-by-step enhancements to our disclosures, governance and goal setting, we've made good progress in improving our ratings - in particular, Management for ISS ESG, Sustainalytics and MSCI. Synopsys D Jan Feb Mar Apr Ma Jun Jul Aug Sep Oct Nov Dec Synopsys Confidential Information 2022 Synopsys, Inc. 48#45synopsys® Synopsys® Market and Technology Leader Electronic Design Automation Semiconductor Intellectual Property Software Security & Quality Solid Financials Recurring revenue model Large, non-cancellable backlog Excellent execution 2022 Synopsys, Inc. 49#46GAAP to Non-GAAP Reconciliation (1) Earnings Per Share - Full Fiscal Year 2022 Targets Target GAAP earnings per diluted share Adjustments: Amortization of intangible assets Stock compensation Acquisition-related costs Restructuring charges Tax adjustments Target non-GAAP earnings per diluted share Shares used in non-GAAP calculation (midpoint of target range) Range for Fiscal Year October 31, 2022 Low High $ 6.37 $ 6.49 0.63 0.62 3.01 2.96 0.07 0.07 0.08 0.08 (1.36) (1.37) $ 8.80 $ 8.85 157,500 157,500 (1) Synopsys' fiscal year 2022 will end on October 29, 2022. For presentation purposes, we refer to the closest calendar month end. For additional information about the measures Synopsys uses to evaluate its core business operations, please review the earnings press release and Item 2.02 of the Current Report on Form 8-K filed on August 17, 2022. synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 50#47GAAP to Non-GAAP Reconciliation (1) Operating Margin - Midpoint of Fiscal Year 2022 Targets At midpoint of revenue and expense guidance ranges GAAP operating margin Amortization of intangible assets Stock compensation Acquisition-related costs Restructuring charges Target non-GAAP operating margin Twelve Months Ending October 31, 2022 21.4% 1.9% 9.2% 0.2% 0.3% 33.0% (1) Synopsys' fiscal year 2022 will end on October 29, 2022. For presentation purposes, we refer to the closest calendar month end. (2) These numbers represent the midpoint of targets in the prepared remarks provided on August 17, 2022, and do not represent official guidance for fiscal year 2022. For additional information about the measures Synopsys uses to evaluate its core business operations, please review the earnings press release and Item 2.02 of the Current Report on Form 8-K filed on August 17, 2022. synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 51#48GAAP to Non-GAAP Reconciliation Earnings Per Share - Full Fiscal Years 2017 to 2021 Actual Results ASC 605 ASC 605 ASC 606 ASC 606 ASC 606 FY2017 FY2018 FY2019 FY2020 FY2021 GAAP diluted net income per share $ 0.88 $ 2.82 $ 3.45 $ 4.27 $ 4.81 Adjustments: Amortization of intangible assets 0.70 0.82 0.65 0.59 0.52 Stock compensation 0.70 0.91 1.01 1.60 2.19 Acquisition-related costs 0.06 0.14 0.04 0.08 0.10 Restructuring charges 0.24 0.08 0.31 0.23 0.21 Legal matters 0.05 0.17 (0.12) (0.01) Income tax related to transition tax 0.41 Income tax related to tax rate change 0.33 Income tax related to tax restructuring (1.12) Tax impact of repatriation 1.07 Tax settlement 0.11 Tax adjustments (0.28) (0.65) (0.89) (1.22) (0.98) Non-GAAP diluted net income per share $ 3.42 $ 3.91 $ 4.56 $ 5.55 $ 6.84 For additional information about the measures Synopsys uses to evaluate its core business operations, please review the earnings press release and Item 2.02 of the Current Report on Form 8-K filed on August 17, 2022. synopsys® Synopsys Confidential Information 2022 Synopsys, Inc. 52 52#49SYNDESYS THANK YOU Synopsys Silicon to Software