Black Semiconductor, a pioneering startup focused on next-generation chip technology, announced on Wednesday that it has secured €254.4 million (US$274 million) in funding. The majority of this investment comes from the German government, signaling Europe’s intensified efforts to bolster its semiconductor capabilities.
The German Ministry of Economic Affairs and the state of North Rhine-Westphalia provided a substantial €228.7 million (US$248 million) in public funds. The remaining €25.7 million (US$28 million) was raised through equity funding, led by Porsche Ventures and venture capital firm Project A.
The newly acquired funds will be directed towards the establishment of a pilot production facility in Aachen, Germany, with a vision to commence mass production by 2031. Additionally, Black Semiconductor plans to expand its workforce significantly, growing from its current 30 employees to 120 by 2026.
This investment underscores Europe’s strategic ambition to enhance its semiconductor industry, particularly in the wake of the U.S. government’s substantial financial commitments to boost domestic chip manufacturing. While Europe hosts some key semiconductor companies like ASML in the Netherlands, it has traditionally lagged in chip manufacturing, a field dominated by Asian firms such as TSMC in Taiwan and Samsung in South Korea.
Daniel Schall, CEO of Black Semiconductor, highlighted Europe’s potential in the semiconductor supply chain, especially in design innovation. Schall noted that Germany and the European Union have recognized the importance of having a significant role in the global semiconductor market.
Black Semiconductor’s cutting-edge research focuses on using graphene to facilitate chip communication via light rather than electricity. This approach promises to enhance the efficiency and speed of chips, leveraging graphene’s properties as a lightweight, strong material and excellent conductor of electricity.
