Dutch integrated optical solutions developer Effect Photonics has secured an additional $40 million in funding to accelerate its product development and go-to-market initiatives.
The new investment, which brings the firm’s total funding to approximately $80 million*, came from a group of investors led by Invest-NL and Innovation Industries, along with other existing investors.
Effect Photonics, a spin out from the Technical University of Eindhoven (TU/e), develops integrated optical systems to address the ever-increasing demand for bandwidth and faster data transfer capabilities.
The firm combines ultra-pure light sources with digital signal processing and forward error correction technologies to offer compact photonic integrated circuits (PICs) with seamless integration and low power consumption. It also looks to leverage established microelectronics ecosystems to make the integrated solutions affordable and available in high volumes. This will enable the firm to address challenges in: 5G and beyond; access-ready coherent solutions; and cloud/cloud edge services.
According to Crunchbase, before the new announcement Effect Photonics had previously raised approximately $40 million in funding, with its Series A, B and C rounds concluding in February 2016, November 2018, and April 2021 respectively. With the latest additional raising of $40 million, this brings the firm’s total funding to approximately $80 million*.
Roberto Marcoccia, CEO of Effect Photonics, commented on the latest set of funding: “We’re thankful to Invest-NL, Innovation Industries, and our other existing investors for their continued support and confidence in Effect Photonics’ mission and products. 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.”
Gert-Jan Vaessen, Manager of Invest-NL’s Deep Tech Fund, added: “Invest-NL’s Deep Tech Fund is established to support companies with innovative, complex technologies focusing on future societal challenges. Our investment in Effect Photonics is within that goal. We are very happy to support our existing deep tech portfolio company Effect Photonics, together with the other shareholders, for further growth. Management is well-focused on future developments and has positioned Effect Photonics as a tier-one business partner.”
Nard Sintenie, Partner at Innovation Industries, concluded: “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.”
*Figures currently being checked with Effect Photonics.
Lead image: Shutterstock/Connect world
