EU Launches €2.5 Billion NanoIC Pilot Line to Develop Sub-2nm Semiconductors
February 10, 2026
The European Union has inaugurated its largest and most advanced semiconductor pilot line to date, a critical move in its strategy to regain technological sovereignty and reduce dependency on foreign chipmakers. The €2.5 billion ($3 billion) NanoIC facility, hosted by the renowned R&D organization Imec in Leuven, Belgium, is dedicated to pioneering the next generation of sub-2 nanometer chips essential for artificial intelligence, high-performance computing, and future digital infrastructure. The launch represents a major milestone under the EU's ambitious €43 billion Chips Act, which aims to double the bloc's global market share in semiconductors to at least 20% by 2030. The NanoIC pilot line, first announced in May 2024, follows the recent opening of another key facility, the €830 million FAMES pilot line in Grenoble, France. Together, these projects form the core of a planned network of five pilot lines representing a combined EU and national investment of €3.7 billion.
The European Commission and national and regional governments jointly invested €700 million in the NanoIC project, with the remaining €1.8 billion provided by industry partners, most notably the Dutch lithography equipment giant ASML. The facility is supported by a consortium of leading European research labs, including France's CEA-Leti, Germany's Fraunhofer, Finland's VTT, Romania's CSSNT, and Ireland's Tyndall Institute. A key differentiator for NanoIC is its deployment of the most advanced Extreme Ultraviolet (EUV) lithography machines, tools manufactured by ASML that are indispensable for producing chips at the 2nm node and beyond. The European Commission stated that this will be the first European facility to host such cutting-edge equipment.
The pilot line will serve as a crucial testing ground, allowing researchers and chip companies to validate new designs, equipment, and manufacturing processes at a near-industrial scale before committing to costly mass production. The strategic implications of this investment are profound. By establishing a state-of-the-art, open-access R&D infrastructure, the EU aims to de-risk innovation for its semiconductor industry and attract further private investment. It positions Europe to not only compete in the global race for advanced chip manufacturing but also to shape the standards and supply chains for the foundational technologies of the coming decades. The success of NanoIC will be a key barometer for Europe's ability to translate legislative ambition and public funding into tangible industrial leadership.
Source: datacenterdynamics
