Dutch company Morphotonics has raised €40 million to scale up production of nanoimprint lithography equipment and push into optical components for data centers. The round was backed by 3M Ventures, Innovation Industries, BOM, Invest-NL, the European Innovation Council (EIC) Fund, Ernij Next, and the European Investment Bank (EIB).

Morphotonics, which has spent 12 years developing its technology largely under the radar, creates 'stamps' applied to photosensitive materials to manufacture displays for AR glasses and other optics, including waveguides used in Meta Ray-Ban Display, Even Reality, and Magic Leap.

CEO Hugo Da Silva said the company's next machine will produce over 6 million waveguides annually, with shipments expected early next year. The startup, which has more than doubled its headcount to 60 employees, plans to stabilize around 70-75 people. About 90% of revenue comes from hardware sales, with 10-15 systems deployed globally.

Beyond displays, Morphotonics is expanding into co-packaged optics for data centers using Photonic Integrated Circuits.