From Foundation to Scale: Progress, Pressure, and the Next Phase for Photonics

With the publication of PhotonDelta’s 2025 Annual Report, board member and CFO Laurens Weers reflects on the progress made across the PhotonDelta ecosystem – and what it will take to scale at pace. Read the full report here.

What does the ecosystem look like today compared to a few years ago?

The most noticeable difference is that the ecosystem has become more complete and more connected. Across the value chain, there is now stronger alignment between research, design, manufacturing, and application. That level of coordination is essential, particularly in a field like integrated photonics where organisations can’t operate in isolation.

At the same time, growth is becoming more visible in measurable terms. The ecosystem now employs around 780 people, representing a Compound Annual Growth Rate of 16% since 2022, and continues to attract increasing levels of investment, including €152 million in public and private investment across 2025 alone.

At the same time, revenue GDP contribution shows strong growth, close to 60% year over year,  alongside continued expansion of the knowledge base through patents and research. These are the kinds of leading indicators that show the ecosystem is moving beyond its early development phase and towards a more mature industry structure. What was an upcoming ecosystem is now increasingly part of a larger industry. 

What were the most important developments for PhotonDelta itself in 2025?

Much of the work in 2025 was about continuing what was set in motion in the years before, but with increasing scale. We have continued to invest in innovation and startups, bringing total deployed funding since 2016 to €213 million. Within the first phase of the NGF programme, €10.2 million in startup funding has helped mobilise €28.7 million in private co-financing and supported the creation of 12 new companies.

At the same time, the ecosystem is becoming more visible and connected internationally. Our annual PIC Summit Europe continues to grow as a global platform, attracting a record number of international participants, while initiatives like PhotonJobs are beginning to show tangible results, with over 100,000 quarterly views and the first confirmed job placements.

These are all indicators of an ecosystem that is not only growing, but starting to function more cohesively.

How does this progress position the Netherlands and Europe more broadly?

From a European perspective, integrated photonics sits within a broader discussion around technological sovereignty, supply chain resilience, and the ability to maintain leadership in key enabling technologies. 

These themes are reflected in policy developments such as the EU Chips Act, and programmes like the Eindhoven pilot line, which are jointly funded by PhotonDelta, the European Union, TNO and the Dutch Ministry of Defence. 

The Netherlands holds a strong position within this landscape, particularly due to the depth and integration of the PhotonDelta ecosystem. This is about converting technological strength into adoption – securing design-ins, embedding in global value chains, and moving at a pace that matches global competition.

The report points to a stronger focus on commercialisation. What does that mean in practice?

It means that the centre of gravity is shifting. In the earlier phase, the focus was on building capability: developing the technology, establishing infrastructure, and creating an ecosystem that can function end-to-end. That work remains essential and is a strong base for the next phase. 

The next phase is to ensure that these capabilities translate into market adoption. This involves supporting application development, scaling production, and enabling companies to move more quickly from design to deployment.

This transition is also reflected in the outlook for the coming years, with a stronger focus on scaling applications, expanding production capacity, and aligning with European programmes and industrial policy.

How does the international landscape influence this next phase?

Demand for integrated photonics is global, so by default international. Driven by developments in areas such as AI, data infrastructure, and advanced sensing, it is increasingly shaping the direction and urgency of the industry. At the same time, other regions are also investing heavily and moving quickly to capture these opportunities.

For Europe, the question is not whether the technological foundation exists, but whether it can scale in time, and fast enough to secure a meaningful position in global value chains. That requires coordination across countries, alignment with European initiatives, and the ability to connect into global markets while maintaining strategic capabilities.

What will define success in the coming years?

Success will be defined by the ability to translate the current position into sustained growth and relevance, while keeping pace with the speed of global developments. That means more companies reaching the market, stronger international partnerships, and a supply chain that can operate at increasing levels of scale and reliability. 

The availability of sufficient capital is going to be essential. The additional €100 million now unlocked is a good start. However, we believe that a strong, continued financial backing from the Dutch and European governments will remain crucial in attracting more venture capital.  

The foundations are in place. The next phase is about building on that foundation with focus, coordination, and the ability to scale at pace. Let’s double down on this great opportunity we have to continue to grow this industry.