Deep submicron processes are driving silicon complexity, time-to-market windows continue to shrink and experienced design engineers are at a premium. The System-on-a-Chip era is approaching and pushing technology at every turn.As a result, companies are looking for ways to get the most out of their design resources. High quality design systems, developed from powerful EDA tools and interface software, ensure more efficient use of resources und ultimately, high quality designs.Unfortunately, many engineers are spending time wrestling new tools into their design systems instead of designing or verifying their designs. The need for EDA tool interoperability has never been greater. Fortunately, some progressive EDA companies are spearheading efforts to improve tool interoperability. This paper will explore the benefits of tool interoperability and define several ways that it can be achieved.