Imec

Over the years, Imec has grown into a global leader in nanoelectronics and digital technologies, with a strong focus on semiconductor research and development. Imec mission is to innovate and develop cutting edge semiconductor solutions that address the ever-increasing demands of modern technology. Whilst being committed to sustainable developments for current and future generations. [2]

Imec’s operates with a hybrid model: part public research institute, part industry platform, and part venture builder. Its business model is designed to finance very expensive semiconductor R&D while remaining commercially relevant and globally influential.

Core role and positioning

Its primary business is pre-competitive research in semiconductors and related technologies. Companies pool resources at Imec opposed to investing alone into very expensive early stage R&D. It positions itself as:

• A neutral technology platform for global semiconductor and systems companies.
• A bridge between academic research and industrial application
• A provider of shared, extremely capital-intensive infrastructure (cleanrooms, advanced tools).

Funding Structure: Diversified and Mixed Public & Private

Public Funding

• In Belgium, only about 17% of Imec’s funding comes directly from the Flemish government, with the rest coming from other sources (industry, EU, etc.) [3]
• Additional public funding flows from European programs, national grants, and strategic initiatives (e.g., CHIPS related collaborations and international R&D hubs)

Public funds typically support:

• Long horizon, high risk research platforms (e.g., new device concepts, materials).
• Shared infrastructure and pilot lines that no single company would finance alone.
• Strategic partnerships in regions like Europe, the US, and the Gulf (e.g., R&D hub in Qatar supported by imec.xpand’s venture platform) [4]

Industrial and Commercial Revenue

Imec’s revenue was 1.034 billion in 2024, indicating a large recurring income base from commercial activities. This comes from:

• Industrial affiliation and research programs.
• Bilateral development projects.
• Licensing and technology transfer.
• ASIC and prototyping services.
• Venturing returns and associated services.

This mix of recurring contract R&D and service revenue is crucial to make the model financially sustainable and relatively independent of annual subsidies.

Partnership Driven R&D

• Global semiconductor firms join long term programs on leading edge process technology and packaging, photonics and more
• Members co-fund Imec’s research and get shared access to IP and pre-competitive results.
• Tailored projects with a single company for specific sensors, devices or system solutions. [5]
• Intellectual property (IP) arrangements negotiated case by case.

This allows companies to co-invest in expensive pathfinding (e.g., new nodes, materials, device structures) without bearing the full cost themselves.

IP licensing and technology transfer

• Patents and process modules licensed to industrial partners [6]
• Spin-offs and start ups created around Imec technologies, sometimes with equity participation

Innovation services and prototyping

• Multi project wafer services, design enablement, prototyping for universities, SMEs and starts up
• Consultancy on technology road mapping and system architecture [7]

Venturing and imec.xpand: Strategic Extension of the Model

Venturing is a key differentiator of Imec’s model, turning R&D into equity value and strategic influence. Imec supported a dedicated venture fund, imec.xpand, launched around 2017 to finance promising deep-tech ventures emerging from or connected to Imec. By 2025, imec.xpand has grown into an over EUR 400 million fund. [8] [9]

Fund characteristics

• Focus: deep-tech/hard-tech startups in and around Imec’s domains (semiconductor devices, AI, photonics, energy, etc.) [10]
• Value-add: access to Imec’s R&D, infrastructure, and experts, not just capital
• Governance: still a financially driven VC vehicle, but strategically aligned with Imec’s long-term technology roadmap.

Venturing and imec.xpand support the cord R&D model in several was:

Commercialization Pathway

• Startups provide a route to market for technologies that large incumbents see as too nascent or niche, thereby increasing the practical impact and visibility of Imec R&D. [11]

Feedback into R&D

• Startups stress-test new technologies in real applications, feeding requirements and failure modes back into Imec’s research programs, sharpening their relevance. [12]

Financial and Strategic Returns

• Equity stakes and fund carry create upside beyond contract research revenue. Success cases can partially recycle returns into new R&D or further venture investing.

Ecosystem Building

• Ventures increase the density and diversity of companies around Imec, making its ecosystem more attractive to large partners and talent.

Imec’s model is built upon partnerships most of them are organized within its Industrial Affiliation Program (IIAP), an industrial alliance that pools the R&D efforts and budgets of leading foundries, IDMs, equipment and materials suppliers, and system companies in pre-competitive research on advanced semiconductor technologies. With over 600 partners, below are some of the categories of their partnerships.

• Leading foundries / IDMs: Long term: Long term R&D collaboration with companies such as TSMC, Samsung, Intel and others.
• Equipment vendors: Deep partnerships with lithography, deposition, metrology and etch equipment supplier like ASML, KLA, Applied Materials, Lam Research, to test next generation tools and process modules
• Material Suppliers: Joint work with chemical and material companies
• System & fables companies: Collaborations with major electronics, automotive and ICT firms on application-driven R&D
• Academic partners: Collaborating with numerous universities worldwide such as KU leuven, Antwerp, Dutch universities, University of Michigan and Purdue University.
• Governments: Flemish, EU and national agencies in regions where Imec operates.

Collaboration Areas

IP & EPA

Product Segment 1: NanoIC pilot line

Imec coordinates the NanoIC pilot line, a European Chips Act initiative focused on chip technologies “beyond 2nm” The NanoIC pilot line involves: It supports multiple application verticals, with a service portfolio aligned to future growth areas such as digitalization, health, smart cities, automotive and e‑government

• Pathfinding and process development at advanced nodes (N2 and beyond).
• Virtual design enablement: Imec offers the N2 Pathfinding PDK (P‑PDK) for virtual designs developed within NanoIC
• Joint acquisition and operation of advanced equipment and infrastructure with European partners

It supports multiple application verticals, with a service portfolio aligned to future growth areas such as digitalization, health, smart cities, automotive and e‑government

Main Competitors:

• CEA‑Leti (France) – advanced CMOS, 3D integration, photonics.
• Fraunhofer microelectronics institutes (Germany) – wide range of CMOS, packaging, system integration.
• Other EU Chips Act pilot lines for 2 nm, advanced packaging and photonics launched in 2025, these are complementary but also alternative partners for industry.
• TSMC, Samsung, Intel Foundry Services – compete for pathfinding and early customer engagement at advanced nodes.

Product Segment 2: Healthcare

Imec develops health-related sensing and imaging technologies e.g.: Ultra-sensitive, small ultrasound sensors based on thin-film technologies for photoacoustic and ultrasound medical imaging. Offered as R&D collaborations with med-tech companies, hospitals and device OEMs.

Main Competitors:

• CEA-Leti – strong portfolio in medical imaging, biosensors and wearable health.
• Fraunhofer IIS, IBMT – ultrasound and medical imaging technologies.
• Specialized academic labs and hospital engineering centers focusing on new ultrasound and optoacoustic methods.
• Philips, GE Healthcare, Siemens Healthineers, Canon Medical – they sometimes partner with Imec-like institutes, but also develop competing proprietary solutions.

Product Segment 3: Automotive

The development of high-performance sensors and processors has enabled the growth of autonomous driving technologies and advanced driver-assistance systems (ADAS). Imec have also contributed to advancement of electric and hybrid vehicles via research in power electronics and battery management systems.

Main Competitors:

• CEA-Leti – automotive sensing, power electronics, ADAS platforms.
• Fraunhofer (e.g., IIS, IZM) – automotive radar, LiDAR, packaging.

• Automotive OEMs (VW, BMW, Stellantis, Toyota) and Tier-1s (Bosch, Continental, Denso) often run their own electronics R&D or consortia, sometimes choosing other labs as partners.
• NXP, Infineon, STMicroelectronics, Renesas, TI – all run internal research and industry collaborations that can substitute for Imec’s R&D services.

Product Segment 4: Telecommunications

The development of high-performance chips has facilitated the rollout of 5G networks, enabling faster and more reliable communication. Imec’s research in photonics and RF technologies has also contributed to the advancement of optical and wireless communication systems. [13]

Main Competitors:

• CEA-Leti, Fraunhofer microelectronics, and other European pilot lines focused on advanced nodes and packaging.
• Nokia, Ericsson, Huawei, Samsung – active in RF and system research.
• Nvidia, AMD, Intel, Qualcomm, Broadcom, Marvell and hyperscalers (Google, Amazon, Microsoft) run large internal R&D teams.

Product Segment 5: Photonics

Imec is active in photonics and photonic integrated circuits (PICs), including participation in European photonics pilot lines. They also delve into photonic-enabled applications such as high-bandwidth communications and sensing.

Main Competitors:

• PhotonDelta ecosystem (Netherlands), which includes institutes in Eindhoven (where a photonic chip pilot line is planned).
• CEA-Leti, Fraunhofer HHI and others – strong in silicon photonics and PICs.
• Other EU-funded PIC pilot lines explicitly mentioned as “existing pilot lines in Photonic Integrated Circuits (PICs) and Quantum technologies”.
• AIM Photonics (US), GlobalFoundries’ photonics platforms, Tower Semiconductor and specialized silicon photonics foundries.

Product Segment 6: Quantum & Quantum-enabling technologies

Imec participates in quantum-enabling technologies and pilot lines: Quantum pilot lines are described as part of advanced pilot lines targeting applications including automotive, AI, IoT, 5G/6G.

Main Competitors:

• National quantum institutes, quantum foundries and university-based cleanrooms throughout Europe, US and Asia.
• Multiple institutions across Europe involved in PIC and quantum pilot lines.
• IBM, Google, Microsoft, IQM, PsiQuantum and others – which may use their own or external pilot lines.

Imec is organized as a public utility, non-profit association under Belgian law.

Its financial objective is to ensure the long-term sustainability of its research infrastructure rather than to maximize profit.

Their funding can be broadly categorized into 4 parts:

• Industry R&D funding
• Government and public funding
• Venture and financial ecosystem funding
• Sustainability and energy-focused funding
• Academic and workforce development funding

Imec has €1bn revenue with majority of its funding approximately 73% of operating income comes from turnover so the Industry R&D funding. Highlighting a strong industry funded model complemented by public support.

EBIT approximation using operating income and charges for 2022-23.

Year	Operating Charges	Approx. EBIT	Approx. EBIT margins
2022	€814.2m	€31.9m	3.8%
2023	€921.1m	€20.3m	2.1%

Source: Annual and Sustainability Report 2024, Consolidated Financial Statements 2023

Customers

Large range of companies within sectors:

• Logic & memory R&D
• Equipment and materials
• Photonics and packaging
• Wireless and IoT
• Health and life sciences
• Energy and mobility

Customers for Imec typically co-develop technology, obtain IP and process recipes, or use Imec as an R&D extension and prototyping facility.

ESG Analysis (Scope 1/2/3)

Scope 1 (Direct Emissions)

Imec's direct emissions primarily originate from:

• Cleanroom operations: On-site combustion for heating and backup power generation at their Leuven campus and global R&D sites.
• Process gases: Use of fluorinated gases (F-gases) in semiconductor fabrication processes, including etching and chamber cleaning.
• Fleet vehicles: Company vehicles for logistics and employee transportation.

Imec has implemented abatement systems for process emissions and is transitioning to electric vehicles for their fleet. As an R&D facility operating pilot lines (not high-volume manufacturing), their Scope 1 footprint is significantly lower than commercial fabs.

Scope 2 (Indirect Emissions)

Electricity consumption is Imec's largest source of indirect emissions:

• Cleanroom energy: Advanced cleanrooms require continuous HVAC, air filtration, and precise environmental control (temperature, humidity).
• High-performance computing: Significant power consumption for AI/ML workloads, EDA simulations, and computational lithography.
• Equipment operation: State-of-the-art semiconductor tools including EUV lithography systems, deposition chambers, and metrology equipment.

Mitigation strategies: Imec sources renewable electricity through Power Purchase Agreements (PPAs) and green energy certificates. Their Leuven campus incorporates energy-efficient building designs and heat recovery systems.

Scope 3 (Value Chain Emissions)

As an R&D organization, Imec's Scope 3 emissions include:

• Purchased goods & services: Specialty chemicals, gases, wafers, and materials for R&D processes.
• Capital goods: Acquisition of advanced semiconductor equipment (lithography, deposition, etch tools).
• Business travel: International travel for collaborations with global partners and conferences.
• Employee commuting: Daily commuting of 6,500+ employees across multiple sites.
• Downstream impact: Technologies developed at Imec are transferred to industry, influencing the sustainability profile of high-volume manufacturing globally.

ESG Goals & Sustainability Targets

Target Area	Goal	Timeline
Carbon Neutrality	Net-zero emissions for Scope 1 & 2	2030
Renewable Energy	100% renewable electricity sourcing	2025-2030
Sustainable Chip R&D	Develop low-power, sustainable semiconductor technologies	Ongoing
Circular Economy	Increase recycling and waste reduction in cleanroom operations	2030

Source: Annual and Sustainability Report 2024

R&D Services & Capacity Availability Analysis

As an R&D organization rather than a commercial manufacturer, Imec's "availability" relates to research capacity, pilot line access, and partnership engagement:

Service Type	Typical Lead Time	Access Model
Industrial Affiliation Program (IIAP)	3-6 months (contract negotiation)	Multi-year membership
Bilateral R&D Projects	2-4 months (scoping & contract)	Custom engagement
Multi-Project Wafer (MPW) Runs	8-16 weeks (fab cycle)	Shared cost per design
Prototyping Services	12-24 weeks	Fee-for-service
Technology Licensing	4-12 months (negotiation)	IP licensing agreement

Engagement Channels

• Direct partnership: Through business development teams for large-scale collaborations
• Online portal: imec-int.com/connect-with-us for initial inquiries
• IC Link (Europractice): imeciclink.com for ASIC design services and MPW access
• imec.xpand: Venture platform for deep-tech startups seeking R&D collaboration

Critical R&D Processes & Capabilities

1. Advanced Logic Process Development (N2 and Beyond)

• Capability: Development of next-generation transistor architectures including Gate-All-Around (GAA) nanosheet devices, complementary FET (CFET), and 2D material integration.
• Critical for: Foundries (TSMC, Samsung, Intel) and equipment makers requiring pathfinding R&D before HVM implementation.
• Differentiation: Access to ASML's latest EUV and High-NA EUV systems for advanced patterning research.

2. Advanced Packaging & 3D Integration

• Capability: Hybrid bonding, chiplet integration, fan-out wafer-level packaging (FOWLP), and through-silicon vias (TSVs).
• Critical for: Enabling heterogeneous integration for AI accelerators, HPC, and advanced SoCs.
• Differentiation: Sub-micron pitch hybrid bonding capabilities and system-technology co-optimization (STCO) expertise.

3. Silicon Photonics & Photonic Integrated Circuits

• Capability: 300mm silicon photonics pilot line, co-packaged optics, and photonic-electronic integration.
• Critical for: Data center interconnects, AI/ML infrastructure, LiDAR, and biosensing applications.
• Differentiation: Industry-leading 300mm photonics platform with established process design kits (PDKs).

4. EUV & High-NA EUV Lithography

• Capability: Process development and defect learning on cutting-edge EUV systems.
• Critical for: Enabling sub-2nm manufacturing and advancing Moore's Law.
• Differentiation: Close collaboration with ASML; early access to High-NA EUV for process development.

5. Sustainable Semiconductor Technologies

• Capability: R&D on low-power devices, alternative materials (reducing reliance on critical raw materials), and energy-efficient process flows.
• Critical for: Meeting EU Green Deal requirements and industry sustainability targets.
• Differentiation: Integrated sustainability focus across all research programs, aligned with European strategic autonomy goals.

Strategic Value for Industrial Alliance Partners

• Pre-competitive R&D access: Reduces individual company R&D costs through shared investment in high-risk, early-stage technology development.
• Technology de-risking: Validates new materials, processes, and device architectures before partners commit to HVM investments.
• Talent pipeline: Access to highly skilled researchers and engineers; potential recruitment channel.
• European strategic positioning: Alignment with EU Chips Act initiatives and access to public co-funding opportunities.