EU funding strengthens semiconductor innovation in Finland
The European semiconductor industry is receiving a boost through the APECS pilot line project, which has been awarded funding under the EU Chips Act. This initiative focuses on developing and providing new packaging and integration solutions for the industry.
The APECS (Advanced Packaging and Heterogeneous Integration for Electronic Components and Systems) pilot line, part of the EU Chips Act programme, aims to strengthen Europe's semiconductor manufacturing and drive chip innovation. It will focus on developing reliable microchip packaging solutions, integrating advanced semiconductor materials and technologies, as well as chiplet integration. Serving as a platform for technological advancement, APECS will support industry innovation and be coordinated by Fraunhofer.
Finland’s VTT is playing a crucial role in this effort, focusing on radio frequency technologies required for the 6G network and on the development of optical microsystems and chip packaging methods.
Beyond APECS, VTT is contributing to additional pilot projects, including FAMES and NanoIC, led by France’s CEA-Leti and Belgium’s imec. These projects focus on advancing transistor and RF technologies, memory solutions, and packaging technologies. Additionally, the PIXEurope pilot line, coordinated by Spain’s ICFO, will drive progress in photonic chip technologies, with VTT actively participating in developing integrated photonics.
These pilot line initiatives align with Finland’s strategic investments in semiconductor research and development. VTT’s work on the APECS, FAMES, and NanoIC pilot lines will take place at Kvanttinova, a microelectronics and quantum technology RDI hub backed by EUR 79 million in Finnish government funding. Developed in collaboration with Aalto University and the City of Espoo, Kvanttinova will house a shared-use cleanroom, enabling domestic companies to develop, test, and scale microelectronics innovations. The first semiconductor processes in Finland are expected to start by late 2026.
In addition, the APECS pilot line has received EUR 29 million in funding from the EU and the Finnish government. This investment will specifically focus on VTT’s shared-use cleanroom facilities and the development of semiconductor manufacturing processes.
"Taken together, these four pilot lines, APECS, FAMES, NanoIC and PIXEurope, will support the growth of the Finnish and European semiconductor industry and help Finnish industry to connect to European value chains," says Pekka Pursula, Research Manager at VTT, in a press release
The semiconductor industry’s expansion in Finland will be a key topic at the upcoming Evertiq Expo in Tampere on March 27, 2025, where Joonas Mikkilä, Senior Advisor at Technology Industries of Finland, will discuss "Finland’s Semiconductor Industry and the Chips from the North Strategy."
Recognising its potential, Finland introduced the Chips from the North strategy in 2024, looking to triple industry revenue to EUR 5–6 billion by 2035 and create 15,000 new jobs. The strategy aligns with the EU Chips Act, which seeks to enhance Europe’s semiconductor sovereignty and reduce reliance on external suppliers.
Today, the country is home to over 90 companies – employing roughly 7,000 people – spanning the entire semiconductor value chain.
