Italian Deeptech Firm Raises €211M for Graphene Optical Chips

A major investment is accelerating the development of next-generation computing hardware. CamGraPhIC, the graphene photonics subsidiary of Milan’s 2D Photonics, has secured approval from the European Commission for a substantial €211 million in Italian state aid. This funding is designated to industrialize the company’s proprietary technology for graphene-based optical interconnects and to establish a pilot manufacturing facility in the Lombardy region. The grant represents a significant strategic push to advance Europe’s position in the critical field of photonic integrated circuits, which use light rather than electricity to transmit data.

The core innovation lies in using graphene, a single layer of carbon atoms, as the active material within photonic chips. This approach promises to overcome the bandwidth and energy limitations facing traditional silicon electronics, particularly in data centers and high-performance computing. The planned pilot line is a crucial step toward moving this advanced technology from the laboratory to commercial-scale production. By building manufacturing capacity within Europe, the project aims to create a more resilient and competitive supply chain for essential semiconductor components.

This state-backed initiative underscores the growing recognition of photonics as a foundational technology for the future. Optical interconnects are seen as vital for managing the explosive growth in data traffic and for supporting emerging fields like artificial intelligence, which demand unprecedented processing speeds and efficiency. The substantial investment in CamGraPhIC signals a concerted effort to ensure European companies can lead in this high-stakes sector, reducing dependency on external sources for the advanced chips that will power tomorrow’s digital infrastructure.