European leadership in photonic chips under pressure: call for action from the sector

6 February 2026
News
Semiconductor Technologies

Europe is a global leader in photonic chip technology, a key enabling technology for energy-efficient digital infrastructure, medical innovations, and sustainable applications. However, according to a new white paper from the European photonic chip industry, compiled by eight leading industry organizations including PhotonDelta, SMART Photonics, and PHIX, this leading position is under threat. Without targeted investments and decisive policies, Europe risks losing ground to the United States and Asia, where large-scale investments are taking place

In the white paper, to which more than 80 European organisations contributed, the sector calls on the European Union to take action now. With a view to the upcoming revision of the EU Chips Act, the authors advocate an explicit programme for photonic chips, a stronger innovation and investment climate, and targeted public and private investment.

The urgency is great. The market for integrated photonics is growing rapidly and is expected to increase by more than 350% over the next five years, reaching a value of approximately €65 billion in 2031. At the same time, international competition is rapidly increasing. Without further upscaling and industrialisation, Europe risks making the same mistakes it made with previous key technologies, such as semiconductors and solar energy.

The sector emphasises that the focus must shift from research and pilot lines to large-scale application. Investments in open-access production facilities, strengthening public-private partnerships, simplified regulations and attention to talent development are crucial. Photonic chips have now become an essential semiconductor technology for Europe's strategic autonomy and future economic growth.

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