Rapidly emerging as a global leader in deep tech and semiconductors, Finland leverages a culture of openness and trust to develop an ecosystem that rivals the best worldwide. Backed by strong policy frameworks and a vibrant innovation culture, the Nordic country is positioning itself as a strategic hub for Europe’s semiconductor and quantum ambitions.

Encouraging innovation

“Finland’s ecosystem is unique in the world,” says Toni Mattila, Head of the Chips Campaign at Business Finland. “It’s based on close collaboration between companies, research institutes, and universities – and we have mechanisms to support that.”

This collective spirit is more than rhetoric. From Aalto University’s open approach to industry partnerships to VTT Technical Research Centre of Finland’s role in quantum research, Finland has created a seamless bridge from lab to market.

As Dr. Omkaram Nalamasu, CTO of Applied Materials, a global leader in semiconductor manufacturing equipment, observes, “I’m pleasantly surprised with the level of entrepreneurship and how closely the industry, government, and universities work together in creating exciting startups.”

Deep tech at the core

Global demand for chips is soaring and is expected to hit $1 trillion by 2030, driven by AI, data centers, autonomous vehicles, and robotics. But as Nalamasu warns, the challenge is energy efficiency. “Energy needed for computation is doubling every three years. We need a 10,000x improvement in energy-efficient performance by 2040.”

To meet this challenge, Finland is leveraging photonics and quantum technologies. Companies like Finnish scale-up Canatu exemplify this shift. Focused initially on foldable smartphone sensors, Canatu pivoted to EUV pellicles for semiconductor lithography – a critical component for chips below 7nm. Today, 78% of the firm’s revenue comes from semiconductors, with partnerships spanning IMEC and ASML.

Similarly, SisuSemi is tackling atomic-level defects in chip manufacturing. “Yield loss last year was over €5 billion,” notes CEO Erkki Seppäläinen. However, their ultra-high vacuum cleaning process promises a 20% yield boost and longer battery life – a notable development for advanced nodes.

Quantum computing goes beyond chips

Beyond semiconductors, Finland is also carving a leadership role in quantum computing. IQM, headquartered in Espoo, is already shipping full-stack quantum systems globally. Nalamasu emphasizes the role of semiconductor expertise in scaling quantum, saying, “Applied’s material engineering and advanced CMOS fabrication could lead to large-scale quantum computers with higher qubit quality and lower spread.”

The Finnish Chips Competence Centre (FiCCC) is central to this vision, linking national strategy with the EU Chips Act. Through pilot lines and design platforms, FiCCC gives startups access to cutting-edge infrastructure and funding.

“Finland has been very successful in getting into these EU programs,” says Pasi Pylväs, Director of FiCCC. “We are building new capability for the benefit of local companies, and connecting them to Europe.”

Global partnerships and investment

Finland’s deep tech ecosystem is attracting global investors and forging international ties. Applied Ventures, the corporate VC arm of Applied Materials, is actively investing in European startups. “We’re stage-agnostic, from seed to growth,” says Steven Konsek, Investment Director. “Our focus is on solving high-value problems and accelerating the lab-to-fab journey.”

This global outlook is reinforced by Applied Ventures’ regional funds in Korea and Taiwan, which connect Finnish innovators to Asian supply chains while maintaining strong links to Silicon Valley. These partnerships open doors for startups operating in Finland to scale globally and tap into advanced manufacturing environments.

The road ahead

Finland’s strengths, including world-class talent and strategic positioning, make it a natural hub for Europe’s semiconductor ambitions. As Mattila puts it, “We want to make this Finnish ecosystem part of European development and build a bridge there.” With a supportive policy and global partnerships, Finland is leading the deep tech revolution.