Dutch Tech Pioneer Secures Forty Million Euros to Upgrade Data Centers

2026-09-22 semicon

Veldhoven, Tuesday, 22 September 2026.
By securing over forty million euros, Morphotonics will adapt its microscopic display-molding technology to resolve critical energy and bandwidth bottlenecks in AI-driven data centers.

A Breakthrough in Photonics and Semiconductor Manufacturing

On Tuesday, September 22, 2026, Veldhoven-based deep-tech company Morphotonics officially announced the close of a Series B funding round exceeding €40 million [1][4][5][6]. This funding, which brings the company’s total capital raised to $57 million USD, includes a €20 million convertible loan from the European Investment Bank (EIB) [6]. The capital injection is backed by a robust syndicate of investors, including returning backers 3M Ventures, Innovation Industries, and BOM, alongside state-backed Invest-NL as a major new investor, the European Innovation Council (EIC) Fund, and Ernij Next [1][4][5]. Headquartered in Veldhoven, the Netherlands, and led by CEO Hugo da Silva, Morphotonics is positioned at the intersection of the photonics and semiconductor manufacturing industries [2][3][4].

Addressing Energy and Bandwidth Bottlenecks

While the company has spent 12 years developing technology primarily used for augmented reality (AR) displays and smart glasses—such as waveguides for Meta Ray-Ban, Even Reality, and Magic Leap—it is now targeting a major expansion [1][2]. The primary industry focus of this new initiative is photonics, specifically co-packaged optics for next-generation computing and data center infrastructure [2][4][5]. By transitioning its large-area nanoimprint lithography (NIL) technology from consumer electronics to data centers, the company aims to address critical bandwidth bottlenecks and energy efficiency demands driven by the global surge in artificial intelligence (AI) workloads [2][5][GPT].

How Mechanical Nanoimprint Lithography Works

Traditional semiconductor manufacturing relies on light-based photolithography, which can be highly complex and expensive when scaling up large-area optical patterns [3][4]. In contrast, Morphotonics utilizes a mechanical alternative known as large-area nanoimprint lithography [2][3][4]. This process works by applying a liquid resin coating to a substrate and then pressing microscopic or nanoscale patterns into the resin using a specialized mould [2][4]. Once the patterns are imprinted, they are cured and hardened using ultraviolet (UV) light [2][4].

Lower Costs and Unlocking Mass Production

This mechanical replication process allows manufacturers to reproduce highly complex optical structures across large surfaces with extreme precision [2][4]. The primary benefit of this innovation is its ability to mass-produce advanced optical components, such as waveguides and photonic integrated circuits, at a significantly higher volume and lower cost than traditional semiconductor production methods [2][4][5]. By bringing NIL from specialized, low-volume laboratories into high-volume industrial manufacturing, the technology removes a crucial barrier to the mass adoption of both physical AI devices and high-speed optical systems [3][5].

Scaling Up Production and Global Footprint

Morphotonics has experienced rapid growth leading up to this funding milestone. Under the leadership of CEO Hugo da Silva, who joined the company in September 2024, the company’s headcount has doubled from roughly 30 employees to 60 as of September 21, 2026 [1]. This represents a growth rate of 100% in its workforce over a two-year period [1]. The company plans to use the new funds to expand its engineering, commercial, and customer support teams, ultimately stabilizing its headcount between 70 and 75 employees [1][2]. Additionally, Morphotonics is currently building its next-generation machine designed to produce over 6 million waveguides annually, with shipments expected to begin in early 2027 [1].

Expanding Deployment and Future Prospects

With 10 to 15 systems currently deployed globally, Morphotonics aims to scale its deployment to 50 systems within the next two to three years [1]. The company’s business model relies on hardware sales, which account for approximately 90% of its revenue, alongside a “lab-to-fab” partner network across China, Taiwan, the United States, and Europe [1][5]. This network allows customers to trial processes before purchasing equipment, ensuring a seamless integration into display and optical component supply chains [1][5]. While the technology has been validated by customers for data center applications, the company has not yet shipped machines specifically for co-packaged optics, making this Series B funding a critical catalyst for its upcoming industrial deployment [1][2].

Bronnen

Nanoimprint lithography Optical packaging