Astrape Networks Secures €7.9 Million to Transform Data Centers
Eindhoven, Wednesday, 30 April 2025.
Dutch startup Astrape Networks raised €7.9 million, including a €2.5 million EIC grant, to enhance data center efficiency for AI and HPC, boosting Europe’s digital sovereignty.
Groundbreaking Photonic Technology
Eindhoven-based Astrape Networks, founded in 2022 at TU Eindhoven, has developed an innovative optical-electronic switching technology that significantly enhances data center performance [1]. The technology enables networks to process 50% more traffic with fewer servers while achieving a remarkable 60% reduction in energy consumption [2]. This breakthrough comes at a crucial time, as the global data center market is projected to reach $624 billion by 2029, driven by increasing demands from cloud computing, AI, and real-time data processing applications [2].
Strategic Investment and Support
The seed funding round, announced on April 29, 2025, was co-led by PhotonVentures, Join Capital, and the Brabant Development Agency (BOM), with additional participation from Shift Invest [3]. PhotonVentures, specializing in deep tech and integrated photonics, maintains close ties with PhotonDelta, a leading European integrated photonics hub [2]. The European Innovation Council’s contribution of a €2.5 million grant underscores the technology’s strategic importance for European digital sovereignty [1].
Industry Impact and Future Prospects
Francesco Pessolano, CEO and co-founder of Astrape Networks, emphasizes that ‘The explosive growth of AI and HPC applications puts immense pressure on data centers’ [2]. The company’s solution addresses this challenge by operating within the PhotonDelta ecosystem, which represents a significant force in the global development and application of photonic circuits [4]. This positions Astrape Networks at the forefront of the integrated photonics industry, leveraging the Netherlands’ strong knowledge base and specialized production platforms [4].