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

Europe is seeking to ‌reduce US-China tech dependence

Jensen Huang, co-founder and chief executive of Nvidia, displays one of the company's chips. Nvidia chips are powerful but inefficient for inference tasks, NADI co-founder Jelle Prins said, comparing them to “doing your shopping with a truck”. Photograph: David Paul Morris/Bloomberg
Jensen Huang, co-founder and chief executive of Nvidia, displays one of the company's chips. Nvidia chips are powerful but inefficient for inference tasks, NADI co-founder Jelle Prins said, comparing them to “doing your shopping with a truck”. Photograph: David Paul Morris/Bloomberg

A new Dutch government agency set up to achieve ​strategic innovation will work with its German counterpart to pursue breakthroughs in AI computer chip design, it said on Wednesday, as part of European efforts to reduce reliance on US expertise.

The National Agency ​for Disruptive Innovation, or NADI for short, was set up this month with €500 million of government money ⁠as a Dutch equivalent of the US Defense Advanced Research Projects Agency.

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.

Co-founder of NADI, Jelle Prins, said that a partnership with Germany on chips was ‌natural, given the strong ecosystem around equipment ​maker ASML in the Netherlands, and German strengths in research and manufacturing.

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 trolley.

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

France’s AID backed development of remote-controlled munitions capable of destroying armoured targets at a 50-km distance that are entering procurement by ‌the French military.

SPRIND is separately running a €125 million challenge aimed at creating three European frontier-AI labs.

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. - Reuters

(c) Copyright Thomson Reuters 2026

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