A German startup spun out of a famed Munich research university whose tech helps semiconductor firms test out products and find defects has raised €15m in equity funding.
The new equity funding in QuantumDiamonds complements a previously announced €76m in EU-backed state funding in the startup, making €91m in total.
QuantumDiamonds, which was spun out of the Technical University of Munich (TUM), will use the funds to scale production of its technology.
The €15 million equity round was led by climatetech investor World Fund, a new investor. Other equity investors were German VC Bayern Kapital, alongside the startup's existing investors IQ Capital, Earlybird, First Momentum, UnternehmerTUM, Creator Fund, Onsight Ventures, and angel investors.
The €76 million in state aid is in non-dilutive funding, which means the funders don't take equity. It comes from the German Federal Ministry for Economic Affairs and Energy and the Free State of Bavaria.
Last month, the European Commission approved the German state aid for the startup, which is setting up a high-tech semiconductor testing facility in Munich.
The move follows proposals for new EU laws to improve Europe's chip, cloud and AI offerings and be less reliant on US tech.
QuantumDiamonds says the testing facility is key to the EU's plans to produce its own technology and software components. As part of the deal, QuantumDiamonds has agreed to work with SMEs and with research institutions and universities.
Kevin Berghoff, CEO and co-founder of QuantumDiamonds, said: "This is a major step in bringing quantum sensing into fabs worldwide.
"The response from leading chipmakers has been clear: they see our technology as essential for solving yield challenges that today's systems can't address. With deployments now live in the U.S. and Taiwan and serial production ramping up in Munich, Europe isn't just participating in the next chip era, it's helping define it."
Founded in 2022, QuantumDiamonds says it will use the funding to scale its operations including its new testing facility.
The startup, which currently employs 70 people, plans to more than double its engineering team over the next 12 months, it says.
QuantumDiamonds operates across Europe, Asia and the US.