Revolutionising Data Centrer. Replacing copper wires with optical interconnects can reduce energy use per bit by 37% while enabling vastly higher data transfer speeds, essential for connecting thousands of AI training chips. This technology is moving from connecting servers to being integrated directly with processors in Co-packaged Optics (CPO) designs.
Enabling New Computer Architectures. Photonic Integrated Circuits (PICs) can act as ultra fast, efficient bridges within a computer package, connecting processors and memory dies in 3D stacks.
Photonic Computing. Specialised photonic tensor cores are being developed to perform the complex matrix multiplications at the heart of AI with extreme speed and efficiency, working alongside traditional electronics.
Driving the Green Energy Transition. Photonics is crucial for improving renewable energy systems
Advanced Solar Power. Using multi-junction cells and specialised materials, photonics helps solar panels absorb a broader light spectrum, significantly boosting conversion efficiency and reducing costs.
Smarter Grids and Storage. Fibre optic sensors enable real time monitoring of temperature and pressure in battery systems, enhancing safety and lifespan. Optical components also improve communication and control across smart electrical grids.
Enabling Precision Sensing and Imaging
LiDAR for Autonomy. Silicon photonics is key to making compact, scalable, and affordable LiDAR systems for self-driving cars and robotics.
Biosensing and Inspection. PIC-based sensors can detect biological molecules for medical diagnostics. In manufacturing, infrared imaging techniques powered by photonics can find microscopic defects in solar panels invisible to the naked eye.
Industry Trends and Challenges. The field is rapidly evolving from thousands to aiming for billions of shipped units. Major initiatives like the Netherlands €1.1 billion 'Photonic Valley' highlights its strategic importance. However, challenges remain in performance stability, efficient manufacturing, and seamlessly integrating optical and electronic components.
Major Photonics Hubs Around the World
Dutch Photonic Valley (Brainport Eindhoven/Enschede). Full R&D to Production Ecosystem
An integrated public/private network with dedicated foundries, design houses, and startups.
Large scale public funding, goal of 100,000+ wafers/year.
Shenzhen Photonics Valley (China). Advanced Manufacturing & Product Scale up.
A company led initiative focusing on mass production of specific components like 3D optical waveguide chips. High volume, product specific manufacturing line.
U.S. National Quantum Initiative (Various locations). Quantum Technology & Research
Federal R&D funding aimed at basic research, workforce development, and translating quantum science. Nationwide R&D coordination and fundamental science.
Optics Valley (Tucson, Arizona, USA). Defence, Astronomy & Optics Education
A historically strong regional cluster centred around the University of Arizona's optics college. Regional cluster with strong academic and defence industry ties.
Integrated, Cooperative Model. Unlike isolated labs or factories, it connects startups (like Smart Photonics), research giants (TNO, universities), and a dedicated funding organisation (PhotonDelta) into a co-operative network.
Bridging the ‘Valley of Death’. The Dutch strategy targets the gap between lab research and commercial products. Its new 6-inch photonic chip pilot line (set for 2026) provides startups with essential, low volume manufacturing capabilities to prove and refine their designs.
Global Partnerships for Growth. PhotonDelta collaborates with Silicon Valley's Silicon Catalyst to connect European photonics startups with global expertise, markets, and investors, aiming to foster ‘the next ASML’.
Current State and Strategic Importance. The initiative is now entering a major construction and scaling phase.
Major Infrastructure Underway. Construction has begun on the new pilot line facility at the High Tech Campus Eindhoven. This facility will enable production on larger 6-inch wafers, which is critical for achieving lower costs and higher volumes.
A Strategic European Play. This effort is seen as Europe's chance to secure leadership in a foundational future technology, similar to the semiconductor industry decades ago. The goal is to create new ‘control points’ in the global supply chain where the world depends on unique Dutch and European technology.
Smart Photonics. The Foundry Anchor. Smart Photonics operates as the leading independent foundry for Photonic Integrated Circuits (PICs) based on Indium Phosphide (InP). Its role in the ecosystem is multifaceted.
Ecosystem Partner. It is a critical knowledge provider, end user, and training partner for the new 6-inch pilot line, helping to transition technology from lab to fab.
Strategic Collaborator. It partners with other leaders, like X-FAB, to combine InP with silicon photonics, creating next-generation chips for ultra-high-speed data transfer.
Well Funded Scale up. Backed by over €100 million from strategic Dutch players like ASML, NXP, and the government, it is scaling its manufacturing capabilities to become a global leader.
The 6-Inch Photonic Chip Pilot Line. The Scaling Engine. Hosted by the Dutch research organisation TNO at the High Tech Campus Eindhoven, this pilot line is a flagship project of the European PIXEurope initiative.
Core Technology. Indium Phosphide (InP) photonic chips on 6-inch (150mm) wafers.
Larger wafer size enables higher throughput, better efficiency, and lower cost per chip, aligning with semiconductor industry standards.
Target of 10,000 wafers/year. Construction starts early 2026, with operations beginning around 2027.
A €153 million project funded by the EU Chips Act, PhotonDelta, and the Dutch government. It operates as an open access facility for startups, SMEs, and researchers.
Aims to secure European sovereignty in photonics for applications like AI, quantum computing and 6G, reducing reliance on global supply chains.