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German and Dutch strategic innovation agencies to collaborate on AI chip design

Published by Global Banking & Finance Review

Posted on September 23, 2026

2 min read

· Last updated: September 23, 2026

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German and Dutch Agencies to Collaborate on Breakthroughs in AI Chip Design

European Agencies Join Forces for AI Chip Innovation

By Toby Sterling

AMSTERDAM/BERLIN, Sept 23 (Reuters) - A Dutch government agency set up to foster strategic innovation will work with its German counterpart to pursue breakthroughs in AI computer chip design, Prime Minister Rob Jetten said on Wednesday, as part of European efforts to curb reliance on US expertise.

The Role of NADI and Its Launch

The National Agency for Disruptive Innovation, or NADI for short, was launched this month with €500 million ($570 million) of government money as a Dutch equivalent of the US Defense Advanced Research Projects Agency.

Background: DARPA’s Influence

Popularly known as DARPA, that agency was set up in 1958 in response to the Soviet Union's Sputnik launch and played a role in the technologies that led to the internet, stealth aircraft and GPS.

Drawing on ASML Ecosystem

DRAWING ON ASML ECOSYSTEM

Jetten has thrown his weight behind NADI, one of the flagship projects of a competitiveness taskforce he set up after taking office in February. He said cross-border cooperation makes sense as Europe "cannot afford to innovate country by country" if it wants to compete.

Focus on Semiconductor Strengths

NADI co-founder Jelle Prins said chips were a natural focus given the strong semiconductor ecosystem around Dutch equipment maker ASML and German research and manufacturing strengths.

Funding and Project Goals

In the project, NADI and German counterpart, SPRIND, will commit €40 million over 20 months to groups of small teams using AI to accelerate the design of chips for training and "inference", or running, AI models.

Prins said NVIDIA chips are powerful but inefficient for inference tasks, comparing them to "doing your shopping with a truck" rather than a grocery cart.

European Defense Innovation Agencies

In Europe, France established its defence innovation agency AID in 2018, Germany set up SPRIND in 2019 and Britain launched ARIA in 2023. 

SPRIND’s Ambitious Objectives

SPRIND’s head of challenges, Jano Costard, told Reuters the goal with chips was to achieve “several orders of magnitude acceleration” in a design process that currently takes years. 

($1 = 0.8731 euros)

(Reporting by Toby Sterling; editing by Barbara Lewis)

Key Takeaways

  • The Netherlands’ newly established NADI is modeled on DARPA and backed with €500 million to drive high-risk, high-impact tech breakthroughs in areas like AI chips (live.euronext.com).
  • Germany’s innovation agency SPRIND, founded in 2019, brings experience in AI-driven hardware projects and is already leading the €125 million “Next Frontier AI” initiative to build European AI labs (live.euronext.com).
  • Both agencies will pool €40 million over 20 months to support teams using AI to speed up chip design for both training and inference, aiming for orders-of-magnitude faster development (live.euronext.com).

References

Frequently Asked Questions

What is the main goal of the collaboration between NADI and SPRIND?
The collaboration aims to achieve breakthroughs in AI chip design and strengthen Europe's independence from US technology.
How much funding is committed to the AI chip design project?
NADI and SPRIND will commit €40 million over 20 months to fund small teams working on AI-powered chip design.
Why is European cooperation important in AI chip design?
Cross-border collaboration is crucial for Europe to stay competitive in AI and semiconductors, as innovation needs to happen beyond national borders.
What is the role of ASML in the AI chip design initiative?
ASML provides a strong semiconductor ecosystem, making the Netherlands and Germany ideal for AI chip innovation projects.
When was the Dutch agency NADI launched?
NADI was launched in September with €500 million in government funding to foster strategic innovation.

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