European Commission invests €15M in PhotonHub PHACTORY to supercharge Photonics Commercialisation across Europe

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European Commission invests €15M in PhotonHub PHACTORY to supercharge Photonics Commercialisation across Europe
© PHACTORY

The European Commission has committed €15 million to PhotonHub PHACTORY, a newly launched initiative aimed at accelerating the adoption and commercialisation of photonics technologies—especially among SMEs that face barriers in scaling innovation.

PHACTORY will serve as a virtual “one-stop-shop” factory, connecting businesses to more than 30 leading European competence centres to help them bring photonics-based innovations to market faster.

Bridging the Photonics Innovation Gap

PhotonHub PHACTORY builds on the success of PhotonHub Europe, which helped over 100 companies generate €750M in revenue, create 1,000 jobs, and secure €250M in venture capital in just four years. The new initiative aims to unlock €4.2 billion in SME revenues by 2028, while cutting time-to-market by up to 40% for photonics-enabled products.

Launched on January 1, 2025, and coordinated by Brussels Photonics (VUB), PHACTORY addresses critical gaps in Europe’s photonics value chain. It supports companies from early research stages (TRL2) through prototyping (TRL3-4) and upscaling to commercial production (TRL5-7), leveraging access to world-class laboratories and pilot lines across Europe.

“This €15M programme will drive collaborative innovation across a range of sectors, reinforcing Europe’s sovereignty in this vital technology,” said Prof. Hugo Thienpont, Director of Brussels Photonics.

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Accelerating High-Impact Innovation

Photonics powers key advancements in areas like:

  • Healthcare diagnostics (e.g., miniaturised pathogen detectors)
  • Green energy (e.g., solar photovoltaics)
  • Quantum communications
  • AI-enabled optical systems

EU subsidies will cover up to 85% of project costs, making breakthrough photonics innovation more accessible to startups and SMEs. The initiative also promotes cross-border R&D — enabling, for example, a Dutch startup to co-develop a quantum sensor with a German lab or partner with an Italian research centre on optical AI systems.

With its expansive partner network, PHACTORY provides open-access guidance, hands-on lab support, and streamlined collaboration opportunities across Europe’s leading photonics institutions.

Supporting Growth from Startup to Scale

PhotonHub PHACTORY offers a suite of tailored support programs:

  • Launchpad for early-stage startups
  • Scaling Club for growth-stage ventures
  • Business Coaching for established companies entering photonics markets

“Our goal is to help European businesses shine globally—powered by photonics,” said Nathalie Debaes, Consortium Management Support Officer.

Looking Ahead: Talent, Sovereignty, and Global Competitiveness

Running through 2028, the initiative also supports skills development, free expert consultations, and training to build Europe’s photonics workforce. With rising global competition—such as China’s €3.2B investment in photonic fabs—PhotonHub PHACTORY plays a key role in ensuring European leadership in strategic tech areas, from quantum security to AI-powered photonic chips.

Through its collaborative, tech-driven model, PHACTORY is set to play a transformative role in strengthening Europe’s innovation ecosystem—and making photonics a cornerstone of its industrial future.

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