Mergers and acquisitions (M&As) remain a key driver of growth in the photonics industry. Although 2025 has only reached its halfway point, the sector has already witnessed a remarkable wave of activity in Europe and beyond. Between 1 January and 30 June, EPIC recorded 125 transactions worldwide.
European companies were behind 50 of these acquisitions, while non-European firms led the remaining 75. The United States stood out as the most active player, accounting for 58 deals. In Asia, Japan registered 9 acquisitions, followed by South Korea with 2, and Taiwan and Singapore with one each. Canada (3), Australia (1) and Israel (1) complete the picture.
EPIC members have taken a particularly prominent role in this consolidation trend. In the first half of the year, twenty member companies, with headquarters spread across several regions, have already carried out major acquisitions that are shaping the global photonics landscape.
Other EPIC members were also acquired, either wholly or partially:
Among the fifty European companies leading acquisitions in the first half of 2025, Germany stands out with fourteen operations, consolidating its position as the most active player in the continent. France follows closely with eleven deals. Sweden and the United Kingdom also show notable dynamism, with seven and five acquisitions respectively.
Other European countries have had a more modest role: the Netherlands, Italy and Switzerland recorded three acquisitions each, while Norway, Spain, Finland and Poland registered just one acquisition each.
Let’s take a deeper look at the acquisitions spearheaded by European companies.
Germany has emerged as the most active country in Europe in the first half of 2025, with fourteen acquisitions led by companies based in the country. What is striking is that eleven of these operations involved German targets, underlining the trend of consolidation within national borders.
EPIC members played a prominent role. SCHOTT, for instance, acquired QSIL and its quartz glass production facility, a move designed to strengthen its capacity to supply the fast-growing microchip market. Similarly, 4JET, another EPIC member, took over Corning Laser Technologies — also part of EPIC — in a move that positions the company as a leader in laser-based glass processing across Europe and North America. Leica Microsystems, likewise an EPIC member, expanded its imaging workflows with the acquisition of ATTO-TEC, a specialist in fluorescent dyes.
Other German acquisitions reflected the country’s strategic emphasis on defense and advanced technologies. Rheinmetall increased its stake in software developer blackned to 51%, underscoring its focus on digitalisation in defense. Helsing acquired Grob Aircraft, integrating expertise in composite aircraft manufacturing to fuel its work on next-generation aerial warfare. Quantum Systems, for its part, expanded into copter drones with the acquisition of AirRobot, further consolidating its role in defense and security.
The consolidation also extended to industrial technologies. Callista, a private equity firm, purchased Carl Zeiss Automated Inspection — part of EPIC member ZEISS — which develops inline metrology systems for automotive production. Photona Group, parent company of EPIC member LASER COMPONENTS, acquired FOC&T, strengthening its capabilities in fiber and connector technologies. PVA TePla broadened its metrology portfolio with the acquisition of DIVE Imaging, while SurFunction merged with Surcoatec to combine expertise in coatings and laser-based surface structuring.
Two major international deals stood out. Black Semiconductor, also a member of EPIC, acquired Dutch firm Applied Nanolayers to accelerate the development of energy-efficient chip technologies. Meanwhile, Infineon — one of Germany’s largest players — completed a landmark $2.5 billion acquisition of Marvell Technology’s Automotive Ethernet unit in the United States, consolidating its leadership in software-defined vehicles.
Together, these acquisitions demonstrate Germany’s dual path: reinforcing its domestic ecosystem through consolidation among national players — many of them EPIC members — while simultaneously securing strategic assets abroad in semiconductors, defense, and mobility. The result is a deliberate strengthening of Germany’s technological leadership in critical industries where photonics and advanced manufacturing converge.
France has also been a major hub for photonics M&As in the first half of 2025, with eleven acquisitions recorded. Interestingly, more than half of them — six in total — involved transactions between French companies, reflecting a trend of internal consolidation similar to that observed in Germany.
Several of these acquisitions involved EPIC members. Exail, a leader in robotics, navigation, and photonics, acquired Leukos, another EPIC member specializing in advanced laser sources for metrology and spectroscopy. The merger strengthens Exail’s expertise and opens doors to new markets such as biophotonics and microelectronics. Likewise, Fiber Optics Group — parent of EPIC member SEDI-ATI Fibres Optiques — acquired IDIL Fibres Optiques, also an EPIC member, consolidating its role as a key supplier of optical fiber systems and assemblies. Another significant move came from SERMA Ingénierie, which purchased EPIC member PISÉO to expand its capabilities in photonic testing and engineering.
EssilorLuxottica entered the hearing space by acquiring Pulse Audition, while Gleamer expanded its medical imaging footprint by taking over Pixyl and Caerus Medical, both active in MRI-based AI solutions.
These acquisitions point to a broader French strategy of integrating photonics and AI into health technologies.
French companies also looked abroad for strategic assets. Hiphen acquired Aurea Imaging’s digital phenotyping unit in the Netherlands to strengthen its agricultural AI solutions. EPIC member HEF expanded in North America through the acquisition of TELIC and Agama Glass, reinforcing its photonics division with expertise in etching and technical glass. EssilorLuxottica also broadened its ophthalmic instruments portfolio by acquiring Canadian company Cellview Imaging. Fiber Optics Group extended its international reach with the takeover of FiberTech Optica in Canada. Finally, Pasqal, a French quantum computing company, acquired Canadian EPIC member AEPONYX to integrate photonic integrated circuits into its hardware platform, accelerating its roadmap toward fault-tolerant quantum computing.
Taken together, these acquisitions highlight France’s dual approach: on the one hand, strengthening its domestic photonics ecosystem through consolidation among national players, and on the other, strategically expanding abroad in fields such as AI-driven healthcare, agricultural imaging, and quantum technologies. For EPIC members in particular, the first semester of 2025 has been marked by bold moves that reinforce France’s role as a central actor in the global photonics landscape.
Sweden ranked just behind France in M&A activity during the first half of 2025, with seven acquisitions initiated by local companies. Three were led by EPIC member Mycronic, three by Hexagon, and one by Sandvik.
Mycronic pursued a highly international strategy. In France, it acquired Hprobe, a specialist in MRAM testing and magnetic sensors, strengthening its foothold in semiconductor testing. In the United Kingdom, the takeover of RoBAT added advanced PCB testing capabilities to its portfolio. Across the Atlantic, Mycronic bought Surfx, whose plasma cleaning technology is expected to play a key role in enabling next-generation electronics and AI-related applications.
Hexagon also carried out three acquisitions across Europe. It purchased Italy’s CAD Service to reinforce its enterprise asset management solutions with advanced visualization tools, Belgium’s Septentrio to expand its positioning systems based on GNSS technology, and France’s Aero Photo Europe Investigation (APEI) to enhance its aerial mapping and geospatial data services.
Sandvik focused on industrial metrology with the acquisition of Verisurf in the United States, a company specialized in 3D measurement software, thereby strengthening its digital manufacturing offering for small and mid-sized companies.
Sweden’s strong presence in this M&A wave underlines the strategic role of Scandinavian countries in photonics and advanced technologies more broadly.
The United Kingdom registered five acquisitions in the first half of 2025, reflecting a diverse mix of activity across photonics, healthcare AI, and satellite communications.
EPIC members were directly involved. Wave Photonics acquired the Chiplet IP assets of another UK-based EPIC member, Phoelex. The move consolidates intellectual property within the integrated photonics sector and positions Wave Photonics to serve the fast-growing optical interconnect market.
Other UK companies looked abroad to secure strategic technologies. ETL Systems purchased Canada’s IRT Technologies, a satellite communications pioneer, to expand its global presence and strengthen its portfolio. In healthcare, AI specialist Huma acquired US-based Aluna, a leader in remote monitoring of respiratory diseases, expanding its footprint in digital health.
G&H acquired US-based Global Photonics, bringing expertise in lithography, reticle fabrication, ion beam etching and thin-film coatings — capabilities that will strengthen its manufacturing base and reinforce its North American market position. Similarly, Covesion acquired AdvR, a US pioneer in non-linear optics and quantum photonics, to expand its international reach and broaden its photonics solutions portfolio.
Although smaller in scale compared to Germany or France, the UK’s acquisitions reveal a clear strategy: consolidating national expertise in integrated photonics while expanding abroad in sectors such as quantum technologies, healthcare AI, and satellite communications.
Two major Dutch players were active in the first half of 2025: NXP Semiconductors and Fugro.
NXP pursued acquisitions that reinforce its leadership in both AI and automotive technologies. In the United States, it bought Kinara, a developer of high-performance, energy-efficient neural processing units that enable edge AI. The move strengthens NXP’s ability to offer scalable AI platforms, from TinyML applications to generative AI. In Austria, NXP acquired TTTech Auto, a key provider of safety-critical systems and middleware for software-defined vehicles, accelerating its push into next-generation automotive solutions.
Meanwhile, Fugro expanded its geospatial capabilities with the acquisition of Germany’s EOMAP, a specialist in mapping and monitoring aquatic environments through satellite Earth observation. Integrating EOMAP’s expertise allows Fugro to broaden its services in the water sector, positioning the company as a stronger player in environmental monitoring.
Italy registered three acquisitions in the first semester of 2025, reflecting a mix of activity in optics, automation, and space technologies.
MEI, a manufacturer of edging machines for eyeglass lenses, acquired the minority stake of Israeli startup flō Optics, which is pioneering the digitalisation of lens coating processes. The move strengthens MEI’s innovation base in ophthalmic manufacturing.
Comau, the Italian automation solutions provider, purchased Automha, another Italian company active in warehousing and intralogistics. The acquisition is framed as the foundation of a forward-looking automation hub in Italy, reinforcing the country’s position in industrial robotics and smart manufacturing.
Finally, in the space sector, D-Orbit acquired Planetek, also Italian, in what has been described as a strategic business combination. The merger integrates D-Orbit’s logistics and orbital transportation expertise with Planetek’s Earth observation and geospatial analytics, expanding Italy’s role in advanced space technologies.
Swiss companies closed three acquisitions in the first half of 2025, most of them domestic. Hymson took over Leister’s laser plastic welding business, while Avalon acquired PASAN, combining LED- and xenon-based solar simulation technologies to reinforce Switzerland’s role in PV testing. Abroad, Alcon expanded its medtech portfolio with the purchase of US-based Lensar, a specialist in cataract laser surgery.
These deals reflect Switzerland’s dual strategy: consolidating strengths in solar and laser technologies at home, while pursuing international expansion in high-value medtech markets.
Four other European countries also recorded acquisitions in the first half of 2025.
In Poland, EPIC member VIGO Photonics purchased the assets of a US-based infrared detector company. The deal strengthens VIGO’s position in advanced mid-infrared technologies and supports its expansion into the American market.
In Norway, Nordic Semiconductor bought local AI firm Neuton.AI to accelerate its push into edge AI, complementing its expertise in low-power wireless connectivity. Finland’s Patria expanded its defense portfolio with the acquisition of Belgium’s ILIAS Solutions, a digital defense platform provider.
In Spain, Indra acquired nearly 90% of Hispasat, creating the new company Indra Space and positioning itself as a major player in satellite communications.
Together, these acquisitions show how smaller European players are using M&As to secure niches in AI, space, defense, and photonics. They also underline the growing role of Scandinavian countries, a region with strong specialization in high-tech industries.
In the first half of 2025, a handful of companies have stood out for their aggressive acquisition strategies. Most of them are US-based, confirming the country’s dominant role in shaping global consolidation trends. In Europe, firms from Sweden, France, and the Netherlands have also carried out multiple acquisitions, but on a smaller scale.
IonQ leads the list with four acquisitions in just six months, underlining the intensity of competition in quantum computing. Its February purchase of Swiss firm ID Quantique brought in key expertise in quantum cybersecurity and more than 300 patents, cementing its ambition to dominate secure quantum communications. In May, it absorbed Capella Space, a US platform for signals intelligence, and Lightsynq, a quantum interconnect startup, both reinforcing IonQ’s roadmap for quantum networking. Finally, in June it acquired Oxford Ionics (United Kingdom), an EPIC member known for its breakthroughs in trapped-ion quantum computing. Together, these acquisitions mark IonQ’s bid to become the undisputed leader in quantum technologies.
AMETEK followed a more targeted path with two acquisitions to strengthen its Ultra Precision Technologies division. It acquired Germany’s Kern Microtechnik, a specialist in high-precision machining, and later added the 3D measurement and imaging business of FARO Technologies in the United States.
Qualcomm also expanded strategically, focusing on artificial intelligence and data centers. In March, it acquired EdgeImpulse, enhancing its AI and IoT capabilities. Then in June, through its subsidiary Aqua Acquisition, it took over Alphawave Semi, gaining key assets for its expansion into data centers.
Rocket Lab signaled its ambition to become an end-to-end space company with two acquisitions. In March, it announced the takeover of German laser communications firm Mynaric, followed in May by US-based Geost, a specialist in electro-optical and infrared payloads. Both deals expand Rocket Lab’s role in space-based optical systems.
Silvaco, a provider of software and solutions for semiconductor and photonics processes, focused on broadening its product portfolio. In March, it acquired the Process Proximity Compensation product line of Cadence, strengthening its computational lithography offering. A month later, it added Tech-X, a company active in photonics and wafer-scale plasma modeling for AI applications.
As we have seen in the first section of this article, several European companies also pursued multiple acquisitions in the first half of 2025, underscoring the continent’s role in shaping global technology markets.
Sweden stood out as the most active hub. EPIC member Mycronic carried out three acquisitions abroad: Hprobe in France, RoBAT in the United Kingdom, and Surfx in the United States.
Fellow Swedish firm Hexagon also completed three acquisitions: CAD Service in Italy, Septentrio in Belgium, and Aero Photo Europre Investigation (APEI) in France.
In France, multiple firms were active across photonics, optics, and AI. EPIC member EssilorLuxottica expanded into diagnostic and hearing technologies with the acquisitions of Canada’s Cellview Imaging and France’s Pulse Audition. Fiber Optics Group, parent of EPIC member SEDI-ATI, consolidated the domestic fiber market by acquiring EPIC member IDIL Fibres Optiques, and extended its global reach through Canada’s FiberTech Optica. Gleamer, acquired Pixyl and Caerus Medical. EPIC member HEF also reinforced its North American photonics presence by acquiring TELIC and, through its subsidiary Abrisa Technologies, also acquired Agama Glass.
In the Netherlands, NXP Semiconductors mad two acquisitions this semester: Kinara, in the USA and TTTech Auto, in Austria.
