A new EU-backed European Chip Design Platform has launched with €525 million in investment to support chip design start-ups and smaller firms.

The initiative was launched by Henna Virkkunen, the Commission’s Executive Vice-President for Tech Sovereignty, Security and Democracy, and is described as a key project under the EU Chips Act, the European Commission announced on Thursday.

Chip design is a stage of the semiconductor industry that focuses on creating the blueprint for computer chips before they are manufactured, and European chip design companies currently account for less than 1% of global revenues in that segment.

The platform will offer companies access to chip design tools, design support services, “intellectual property blocks” (reusable components used in chip designs) and access to manufacturing capacity.

These resources are often among the most expensive and difficult for early-stage firms to obtain.

Start-ups and other companies can apply for funding through the platform, with grants of up to €100,000 available for early-stage proof-of-concept prototyping.

More developed start-ups can apply for grants of up to €16 million towards the costs of chip development for commercialisation.

Who is funding it, and who will run it?

A total of €440 million in public funding from the EU and member states will be available through grants, alongside a further €85 million to build the cloud-based platform’s infrastructure, run support services and develop open-source chip design tools, the Commission said.

It explained that €285 million of the funding comes from the EU budget, with €240 million coming from participating states through the Chips Joint Undertaking, an EU programme that pools public funding for semiconductor projects.

The cloud-based platform will be operated by a consortium led by imec, a research organisation, and supported by the Chips Joint Undertaking.

Separately, 20 start-ups are taking part in EuroCDP venture development programmes, receiving technical and commercial training.

“The European Design Platform gives our chips start-ups and SMEs the support they need to overcome the barriers to turn their innovative ideas into silicon,” Virkkunen said.