Dutch-based EFFECT Photonics bags €37.6M to develop highly integrated optics solutions

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Eindhoven-based EFFECT Photonics, a company that develops highly integrated optics solutions, announced on Friday, March 3, that it has raised $40M (approximately €37.60M) from a group of investors led by Invest-NL and Innovation Industries.

Nard Sintenie, Partner at Innovation Industries, says, “Innovation Industries is excited to offer our continued support of EFFECT Photonics. We are impressed by the company’s plans for future growth and innovative product portfolio, which is forging new grounds in offering the lowest power per bit.”

“Transforming – Where Light Meets Digital – for increased connectivity”

Founded in 2010 by Dr Boudewijn Docter and Tim Koene-Ong, EFFECT Photonics is an independent optical systems company with a vertically integrated business model that addresses the need for high-performance, cost-effective optic solutions.

The company provides small form factor solutions with integration, cost-efficiency, low power consumption, and supply security using its field-proven digital signal processing, forward error correction technologies, and ultra-pure light sources.

“By leveraging established microelectronics ecosystems, we aim to make our products affordable and available in high volumes to address the challenges in 5G and beyond, access-ready coherent solutions, and cloud and cloud edge services,” says the company.

The company is headquartered in Eindhoven, The Netherlands, with additional facilities in the UK, the US and Taiwan, and a worldwide network of sales partners.

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Capital utilisation

EFFECT Photonics says it will use the funds to accelerate its product development and support go-to-market initiatives, particularly those related to its integrated coherent optical product portfolio and solutions that satisfy the market’s requirements.

Roberto Marcoccia, CEO of EFFECT Photonics, says, “This investment positions us well to advance our portfolio of integrated optic solutions that will reshape the future of communications and positively disrupt the status quo.”

About the investors

Invest-NL is an Amsterdam-based private company financed with public funds. Its aim is to make the Netherlands more sustainable and innovative. The government (Ministry of Finance) is the company’s shareholder, but Invest-NL decides which companies it will or will not finance.

Innovation Industries claims to be a leading deeptech VC fund with €475M in Assets under Management. The company’s team has diverse backgrounds in (bio)physics, physiology, chemistry, engineering, and more, combined with extensive industry experience. 

Innovation Industries believes deeptech has the potential to change society and hence supports technologies that have a long-term impact by providing capital to fund entrepreneurial activity and build “great” companies.

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Vishal Singh

Vishal Singh is a News Reporter and Social Media Marketing Lead at Silicon Canals. He covers developments in the European startup ecosystem and oversees the publication's social media presence. Before joining Silicon Canals, Vishal gained experience at the Indian digital media outlet Inc42, contributing to its growth with insightful content. Despite being a college dropout, his passion for writing has driven his career in journalism.

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