From TechCrunch · Ivan Mehta, Dominic-Madori Davis · · 2m
Morphotonics raises €40M to expand into data centers
Dutch display tech startup scales up production for smart glasses and pivots toward optical components for data centers.
In brief
Dutch display tech startup scales up production for smart glasses and pivots toward optical components for data centers. Morphotonics has spent 12 years perfecting nanoimprint lithography for AR displays and is now using fresh funding to expand into data center optics as smart glasses demand surges. Originally…
Dutch startup perfects display tech
Morphotonics uses nanoimprint lithography to manufacture displays for AR glasses and other optics. The company has spent 12 years developing the technology largely under the radar.
How the tech works
Morphotonics creates a stamp and applies it to photosensitive materials to produce displays. The process is especially useful for waveguides, thin pieces of glass or plastic that deflect light to display images in front of the wearer's eyes.
Smart glasses demand is surging
China's smart glasses sales doubled in the first eight months of 2026. Market research firm IDC expects smart glasses shipments to reach 12.2 million by 2030, driving demand for manufacturing equipment.
€40M funding round closes
Morphotonics raised 40 million euros backed by 3M Ventures, Innovation Industries, BOM, and Invest-NL, plus the European Innovation Council Fund and European Investment Bank. The round is part of an extended fundraising that began in 2024.
Scaling up production fast
Morphotonics more than doubled headcount to 60 employees from roughly 30 in September 2024 when CEO Hugo da Silva joined. The company expects headcount to stabilize around 70 to 75 people.
Next machine ships early 2027
Morphotonics' next machine will produce more than 6 million waveguides per year and is expected to start shipping early next year. The company currently has 10 to 15 systems deployed globally.
Expanding into data centers
Beyond displays, Morphotonics is pushing into co-packaged optics for data centers using photonic integrated circuits that move data with light instead of electricity. Customers have validated the technology though no machines have shipped yet.
Revenue model combines hardware and services
Roughly 90% of Morphotonics' revenue comes from hardware sales, with 10 to 15 systems deployed globally. The company expects to reach 50 deployments in the next two to three years, boosting service revenue.
In short
Morphotonics has spent 12 years perfecting nanoimprint lithography for AR displays and is now using fresh funding to expand into data center optics as smart glasses demand surges.
