Segment Disclosure

6 Months Ended

Apr. 30, 2018

Certain disclosures are required for operating segments, products and services, geographic areas of operation and major customers. Segment reporting is based upon the “management approach,” i.e., how management organizes the Company’s operating segments for which separate financial information is (1) available and (2) evaluated regularly by the Chief Operating Decision Makers (CODMs) in deciding how to allocate resources and in assessing performance. Synopsys’ CODMs are the Company’s two Co-Chief Executive Officers.

The Company operates in a single segment to provide software products and consulting services primarily in the EDA software industry. In making operating decisions, the CODMs primarily consider consolidated financial information, accompanied by disaggregated information about revenues by geographic region. Specifically, the CODMs consider where individual “seats” or licenses to the Company’s products are located in allocating revenue to particular geographic areas. Revenue is defined as revenues from external customers. Goodwill is not allocated since the Company operates in one reportable operating segment. Revenues related to operations in the United States and other geographic areas were:



	Three Months Ended April 30,				Six Months Ended April 30,
	2018		2017		2018		2017
	(in thousands)
Revenue:
United States	$	376,636	$	350,489	$	761,210	$	669,908
Europe	97,014		78,395		182,479		154,068
Japan	70,435		57,206		138,824		118,904
Asia-Pacific and Other	232,751		193,979		463,749		389,975
Consolidated	$	776,836	$	680,069	$	1,546,262	$	1,332,855

Geographic revenue data for multi-region, multi-product transactions reflect internal allocations and are therefore subject to certain assumptions and the Company’s methodology.

For the three and six months ended April 30, 2018 and 2017, one customer, including its subsidiaries, through multiple agreements accounted for greater than 10% of the Company's total revenues.