Imec, which is Europe’s — and perhaps the world’s — leading nanotechnology center, has written a Letter of Support for Xzero. Once Xzero’s production line is fully completed, imec will help Xzero identify suitable partners that can build and deliver facilities based on our new unit operation.
Xzero has built the production line for its unique modules in-house. The line is now located at Frohe’s factory in Tyresö, outside Stockholm. A company in Thailand, Innosep, has been engaged to build complete systems. The next step is to appoint a permanent subcontractor for the modules that are now being manufactured in our own production line. This will be necessary to support the large volumes we expect going forward. A single facility for the semiconductor industry costs several hundred million SEK. Our part of the delivery will represent a substantial share of this.
Our technology has been developed since the 1990s in continuous contact with Intel. When Intel entered a crisis just over a year ago, they postponed all decisions regarding new technologies, except those considered absolutely essential. They promised to return to the matter during 2026.
During Intel’s crisis, we also contacted TSMC and Samsung as a precautionary step, and we will resume negotiations once we have identified a suitable subcontractor for the modules.
Recently, we were contacted by the Japanese financial institution Nomura. This has also led us to begin discussions with two Japanese companies regarding cooperation on marketing systems for the semiconductor industry.
Xzero has previously been approved by the EU for grant/investment support by receiving a Seal of Excellence, and subsequently received an initial grant of SEK 15 million a few years ago.
Xzero is working together with a consultant, Civitta, to prepare an additional application to the EU. We intend to apply for SEK 25 million in grant funding, followed by an investment of SEK 100 million. Under new EU rules, Xzero must identify private investors who can match the investment from the EIC, the European Innovation Council. The application is essentially complete, but we have paused the work until we have an agreement with a complementary investor.
We have signed a confidentiality agreement regarding the development of new membranes with our current membrane supplier, Donaldson. The Japanese financial institution Nomura has introduced us to Teijin, a Japanese company that is interested in contributing to ongoing membrane development.